Initiatives such as those described are designed to help Lloyd’s grow in developing markets. The growth of emerging markets, combined with the global movement of capital, is resulting in the development of local underwriting skills and capacity. In recognition of the increasing importance of regional insurance markets, and the fact that insureds are looking for local experts with cultural and linguistic understanding, Lloyd’s is in the process of enhancing its network of local distribution platforms. Work is also underway to streamline the broker accreditation and coverholder approval process.
Lloyd’s has executed business development plans in emerging markets to promote the corporation in regions such as Latin America and Asia. As local economies open up and the regions continue to develop, Lloyd’s specialized products and expertise in covering the world’s toughest risks are expected to be increasingly sought after.
Indeed, Lloyd’s has already made some progress in penetrating these markets. In 2008, Lloyd’s became the first admitted reinsurer in Brazil and opened a Rio de Janeiro office a year later. In China, meanwhile, Lloyd’s added to its reinsurance license in the country by gaining a license to write direct insurance in 2010 before converting Lloyd’s Reinsurance Company (China) Ltd. into a direct insurer and changing its name to Lloyd’s Insurance Company (China). Further action is planned for 2012, with Lloyd’s aiming to support syndicates in Shanghai and promote awareness of Lloyd’s local market access. Lloyd’s is also seeking an onshore reinsurance license in India.