With lockdown restrictions further relaxed around the UK today, the specialist Lloyd’s of London insurance and reinsurance marketplace has reopened its underwriting room.
Initially, the world’s oldest insurance market has only reopened its famous underwriting room for those who need to be in, with plans to further relax restrictions at 1 Lime Street from June 21st, in line with Government guidance.
But as the underwriting room began to welcome people back, protestors gathered outside Lloyd’s, and 12 other locations in the UK, to voice their insurance-related environmental concerns.
At Lloyd’s, protestors demanded that the market immediately cease insuring coal mines.
Commenting on the reopening of the underwriting room, Ling Ong, President of London FOIL, an arm of the Forum of Insurance Lawyers (FOIL) and a Partner at Weightmans, said: “Monday is an important turning point for the Lloyd’s market which has historically been a central hub for people conducting business across the insurance and reinsurance markets.”
“It has maintained its place on the global stage by constantly evolving with the times and attracting talent from across the globe. This is something that will continue in a post-COVID and Brexit world,” she added.
As noted by Ong, the reinsurance market has shown its resilience and responded well to the challenges of the global pandemic. And, while there will undoubtedly be new challenges ahead, Ong has confidence in the sector’s ability to continue to respond in a robust manner.
“Sustainability and climate change will also play an important role going forward and as we will have seen from the climate change protests which greeted the re-opening of Lloyd’s, reinsurers face increasing responsibilities,” said Ong.
According to a report by CITYA.M., citing pressure group Coal Action Network, Lloyd’s and its syndicates provide insurance protection for roughly 40% of the global energy market, with a large slice of this being fossil fuels.
Commenting on the matter, Andrew Taylor of Coal Action Network, said: “Today we saw everyday people in every corner of the UK welcome Lloyd’s and its insurers back to the office with demands to stop putting profit over a liveable planet. We need them to rule out insuring deadly coal projects today, not next year or 2030.”
Back in December, Lloyd’s announced plans to create a cultural toolkit and set of regularly measured targets.
This includes asking managing agents in the Lloyd’s market to no longer provide new insurance cover for thermal coal-fired power plants, thermal coal mines, oil sands, or new Arctic energy exploration activities from January 1st, 2022.
The target date for phasing out the renewal of existing insurance cover for these types of businesses is January 1st, 2030.
