Lloyd’s Central Fund is a mechanism, governed by the Council of Lloyd’s, which will pay any valid claim that cannot be met from the resources of any member.
The new multi-layered cover will reimburse aggregate payments from the Central Fund in excess of £600 million, up to £1.25 billion. This, Lloyd’s said, serves as a key component in its chain of security. Its layered structure is supported by newly created cell company Constellation IC Limited, which is financed by J.P. Morgan. It also includes a panel of eight major reinsurers: Arch, Berkshire Hathaway, Everest Re, Hannover Re, Munich Re, RenaissanceRe,