Lloyd’s enters joint venture to enable digital transformation2 min read
“This is a key milestone in building the future at Lloyd’s, which will see the insurance marketplace transformed from a largely paper-based, analogue set of processes to one that is data-focused, automated, and cost-efficient,” Lloyd’s said in its statement. “This will be the first time, in over 20 years that the technology infrastructure underpinning the London market will be completely transformed.”
According to Lloyd’s, the agreement is predicated on three key changes: a core data record (CDR) with common data standards for policy, premium and claims, which translates digital processing; the automation of processes that support placement, policy creation, claims management, and accounting; and an agreement that market processing costs in the new “digital world” will reduce by at least 40% when compared to current services.
“In the challenging hybrid working environment forced upon businesses by COVID-19, the early efforts of the Lloyd’s and London market to modernise activities have been strongly demonstrated by the ability to operate digitally and remotely almost seamlessly, ensuring customers’ insurance needs are met and their claims are paid,” said John Neal, chief executive officer of Lloyd’s. “Now, with the respective commitments of DXC, Lloyd’s and the entire London market, we have the capabilities to transition to a single platform solution that will provide automated processing and accounting for the market, a substantial reduction in operating costs, and offer customers a much faster, better service.”
Sheila Cameron, CEO of the LMA, added: “This is a significant step on the journey to digitise the Lloyd’s and London market. We look forward to working with our managing agent members, DXC, Lloyd’s and the wider London market, as we build a faster and more cost-efficient, data driven future for the market and its customers.”