The International Underwriting Association (IUA) has outlined its priorities for the London company market in 2019, which include the publication of a major report om the wholesale insurance market and the fall-out from Brexit, among other concerns.
The IUA explained that it is preparing to discuss any findings or recommendations with the Financial Conduct Authority following a two-year study to assess competition in the wholesale broker section.
It is also expecting considerable activity to implement necessary regulations following the covered agreements that were signed between the U.S and the EU and UK to boost transatlantic re/insurance trade.
Other supervisory subjects that the IUA plans to monitor include International Financial Reporting Standard 17 on insurance contracts, a scheduled review of Solvency II, and changes to international trade sanctions.
“The countdown to Brexit has loomed large over all our industry’s forward planning for some time now,” said Dave Matcham, Chief Executive of the IUA. “In 2019 we hope to see a functioning transition period, productive discussions on a new trading relationship for UK financial services with the EU and many other free trade agreements around the world.
“Contract continuity, business underwriting practices and the continuing operation of London Market branches will all require continual attention and understanding,” he continued.
“There are, however, many other regulatory developments affecting our market independent of Brexit and the year ahead will be busy. The IUA will be maintaining regular and substantive dialogues with supervisors at home and abroad to ensure our members’ interests are well comprehended.”
Additionally, the IUA is planning a number of initiatives in 2019 to ensure that business process modernisation projects are effectively rolled out across the company market.
These include e-placing to help IUA members keep up with the adoption level mandated in the Lloyd’s market, as well as the automation of single claims agreement parties and a review of service levels for centrally provided processing services.
