Coverholder Reporting Standards User Guide - Lloyd's

1 Coverholder Reporting Standards user Guide Version 20 August 2019. Lloyd's Coverholder Reporting Standards Version Disclaimer These Standards have been prepared by Lloyd's based on the information available as at 20 August 2019. The intention is to update the Standards periodically. If you are reading this in hard copy, please visit our website for the most recent version: While care has been taken in compiling the Standards and producing this document, Lloyd's does not make any representations or warranties as to the accuracy or completeness of the information contained herein and expressly excludes to the maximum extent permitted by law all those that might otherwise be implied. Lloyd's accepts no responsibility or liability for any loss or damage of any nature occasioned to any person as a result of acting or refraining from acting as a result of, or in reliance on, any statement, fact, figure or expression of opinion or belief contained in this document. Lloyd's 2019.

2 All rights reserved. 2. Lloyd's Coverholder Reporting Standards Version Contents 1 Changes introduced in Version 7. 2 Introduction 8. Benefits 8. How do the Standards work? 8. Lloyd's mandate 8. Collect information once and reuse where possible 8. Claims MI 8. TOM COB Standards 8. Local office Reporting 8. The user Guide 8. The Market Business Glossary 9. DA SATS 9. ACORD 9. 3 Risk/Premiums Standard 10. Summary of the standard 10. The report and the contract of delegation 11. Report 11. Contract of delegation 12. Lead syndicate 12. Co-insurance code 12. Year of account 12. The distribution chain 12. Lloyd's platform 12. Coverholder 12. London broker 13. Other intermediaries 13. Surplus lines broker 13. The insured 13. Insured name 13. Personal, commercial and industrial sector of the insured 13. Insured tax code 14. Risk factor 14. Professional fees 14. Insured assets 14. Location 14. Location of the insured 15. Location of the risk 15. Number of locations 15. Location of loss 15.

3 Type and class of business 16. Insurance or reinsurance and type of reinsurance 16. Class of business 16. Policy references and key dates 16. Certificate reference 16. Group reference 16. Inception and expiry dates 17. 3. Lloyd's Coverholder Reporting Standards Version Period of cover 17. Policy issuance date 17. Date on which cover was first issued 17. Total gross written premium 17. Original currency 17. Total gross written premium 17. Estimated premium income 17. Coverholder Commission 17. Local sub-producer commission 17. Lloyd's brokerage amount for the risk 17. Net premium to underwriters for the risk 18. Sum insured, deductibles, claims basis, limit of indemnity 18. Sum insured 18. Deductible / excess 18. Claims basis 18. Limit of indemnity 18. Transaction types and dates 18. Risk transaction type 18. Transaction dates 19. Reason for cancellation 19. Reason for endorsement 19. Reason for reinstatement 19. Instalments 19. Taxes/levies and fees 19. Taxes/levies 20. Fees 20.

4 Paid premium transactions 21. Paid premium information 21. Detail to be added by the broker in London 21. 4 Claims 22. Reporting claims 22. Summary of the standard 22. TPAs/DCAs and Claimants 23. TPA/DCA 23. Claimant 23. Information to appear on all claims submissions 23. Claim reference 23. Mandatory information for all claims 23. Location 23. Location of risk 23. Location of loss 24. Other risk details 24. Cause of loss and catastrophes 24. Cause of loss 24. Catastrophes 24. Claim status, referrals, denials and key dates 24. Claim status 24. Referred claims 24. Denials 24. Key dates 25. Indemnity and fees 25. Indemnity 25. Fees 25. Experts and other claim details 25. Experts 25. 4. Lloyd's Coverholder Reporting Standards Version Other claim details 25. Claims MI 25. 5 Aircraft, vehicle, ship and vessel information 26. Risk/premiums 26. Country of registration 26. Registration number 26. Period of cover 26. Number of vehicles 26. Type of vehicle 26. Wet marine 26. Number of vessels 26.

5 6 Accident and health 27. Claims 27. 7 EU services and establishment business 28. Risk/premiums 28. Freedom of services 28. Freedom of establishment 28. 8 High product risk products 29. Risks/premiums 29. Claims 29. 9 Australia 30. Public and product liability and professional indemnity insurance 30. Risk/Premium 30. Claims 30. Heads of damage 30. All classes 31. 10 Hong Kong 32. Risk 32. Claims 33. 11 Singapore 34. 12 South Africa 36. Risk/premiums 36. Claims 36. 13 Risks located in Spain 37. Background 37. What has changed? 37. Determining if a risk is located in Spain 37. Determining the postcode 37. 14 UK 38. Risk/premiums 38. UK Flood Re 38. UK Pool Re 38. UK Employers' Liability Tracing Office (ELTO) 38. 15 US 40. Risk/Premiums 40. 5. Lloyd's Coverholder Reporting Standards Version US Classification 40. NAIC code 40. State of filing 40. Surplus lines 40. Terrorism 40. Claims 41. Medicare 41. 16 Lloyd's Brussels 43. Risk 43. Premiums 43. Claims 44. 17 Appendix One - Field definitions 45.

6 18 Appendix Two Cover Type 115. 6. Lloyd's Coverholder Reporting Standards Version 1 Changes introduced in Version Spain The postcode of the location of risk must be reported for any risks located in Spain. As per Market Bulletin Y5250, this must be provided from 1 June 2019. All other changes should be implemented by September 2020. Personal/Commercial and the Industrial Sector of the insured All classes and territories - In addition to the existing requirements to provide the trade or industry of the insured for some types of business for Australia, Hong Kong, UK and US; the trade or industry of the insured must be provided for all commercial risks. UK/EEA High Product Risk Products, South Africa and Australia only - There are also updates to definitions for policyholder type and insured total number of employees, which apply to UK/EEA High Product Risk Products, South Africa and Australia only. Multi-section / multi-platform binders Section number/reference to be provided for any multi-section binders.

7 Lloyd's platform to be provided for Lloyd's Brussels/ Lloyd's Asia where this cannot be determined from the binder or section reference. Singapore Alignment to current requirements for Singapore Risk Register. Hong Kong Further alignment to existing Hong Kong Risk and Claims returns requirements. Lloyd's Brussels Additional data to be provided as part of Lloyd's Brussels Risk submission. New requirements to identify and report all annuity type claims separately. Minor changes to definition of VAT on claims fees fields. Number of instalments and instalment basis to be provided where known for Lloyd's Brussels. 7. Lloyd's Coverholder Reporting Standards Version 2 Introduction apply for any risks and claims attached to any binding authority agreements, or Coverholder appointment agreements, incepting or renewing Coverholders are given authority to write risks on from July 2017 onwards. Lloyd's has not mandated behalf of Lloyd's syndicates via binding authority that a particular format is used for Reporting .

8 Agreements and Lloyd's Brussels Coverholder appointment agreements. Collect information once and reuse Part of the contractual agreement is that the where possible Coverholder regularly reports risk, premium and From a Lloyd's perspective, it is only required that claims information to the Lloyd's syndicates and information is collected once. Lloyd's Brussels. Where risk information has been provided in a separate submission, for example in a written risk Benefits bordereau, it is not a requirement that such The purpose of the Standards is to make it easier to information is provided again in a paid premium work with the Lloyd's market by creating a report. consistent request for data from coverholders and third-party administrators (TPAs, now known as There are examples where processes and systems Delegated Claims Administrators (DCAs)). mean that the same information must appear together with risks, or premiums or claims. For The Standards state the core set of regulatory, tax, example, it could be required to submit the same premiums and claims information coverholders and details about the risk with premiums, and again to TPAs/DCAs are required to report into the Lloyd's submit claims to the central services bureau and market for all classes of business in all territories.

9 This is reflected in the Standards where the same By using the Lloyd's Standards , all coverholders information is required for both premiums and and TPAs/DCAs can be assured that they are claims. meeting all Lloyd's tax and regulatory requirements, and therefore it is strongly Claims MI. encouraged that all coverholders adopt these Lloyd's claims Standards include information on Standards . claims and claims management information (MI). Claims MI does not have to be reported on the How do the Standards work? same submission as the other claims data The Standards apply to all coverholders and to discussed here but should be collected in the most TPAs/DCAs with claims authority. appropriate way for each binding authority contract or Coverholder appointment agreement. Where a Coverholder does not have authority to manage claims they may not be expected to TOM COB Standards provide a claims report. The class of business Standards agreed through Not all the information stated is required from each the London Target Operating Model (LM TOM) do Coverholder or TPA/DCA; some requirements only NOT form part of version Underwriters will apply to certain territories or classes of business.

10 Continue to request this additional class specific Appendix One below, and the Market Glossary information. (see ), may be used to identify the Local office Reporting requirements for specific territories and classes. Some Lloyd's local offices will also need to request Some coverholders will have been provided with additional information to facilitate tax and systems by their London brokers or Lloyd's regulatory Reporting locally. syndicates which already collect this information, and in some cases, the information will already be The user Guide known in London. The user Guide provides guidance on the information which must be captured. A summary is Lloyd's premium Reporting Standards are comprised given of the fields to be reported and more detail of risk and paid premium transaction information. given of what is required. Appendix One lists all fields and definitions. Lloyd's mandate In response to market request Lloyd's mandated Lloyd's website provides access to the user Guide that all Lloyd's syndicates request and collect data and spreadsheet templates which may help with consistent with the requirements in Lloyd's your Reporting Coverholder Reporting Standards where these 8.