Report: Chart Goes to London

 

A contingent of 62 Agency and Vendor Partner representatives travelled to London on May 9 – 10, 2016 to participate in the First Annual CHART Goes To London (CGL) Event. This group was joined at the meeting by 92 individuals representing 40 different Lloyd’s Syndicates. The event was scheduled to demonstrate how much of a catalyst CHART can be in driving new business growth in the U.S./London marketplace.

Many of the activities included in the two-day event were sponsored by a group of participating entities. At several points during the meeting, CHART personnel took time to thank the companies for their support. Our sponsors: ANV, Brit, C.J. Coleman, DTW1991, Iris Insurance Brokers, JLT Re, Novae, and Wilson Elser.

The agenda for the first day was a mix of business, fun, and team building. After the registration process was complete, meeting attendees were invited to be part of a guided tour of Lloyd’s of London. This architectural marvel – designed by Richard Rogers and completed in 1986 – is one of the most celebrated of its kind. Despite its modern appearance, the facility contains many historical artifacts, like the 18th century Adam Room, the Lutine Bell, and the Loss Book. Participants were also able to view the oldest, most recognized insurance brand in the world in operation.

There were a number of business meetings held on Monday afternoon. Several agencies that began the process of establishing new programs or product offerings during the October 2015 CHART Event took advantage of their time in London to get together with their Brokers and Risk Taker Partners. Representatives from two large agency networks – The Strategic Insurance Agency Alliance (SIAA) and Beyond Insurance Global Network (BIGN) – also met with Syndicate personnel to discuss the benefits of doing business with Lloyd’s.

The first day’s activities concluded with a cocktail reception at the meeting venue. The representatives from the U.S.-based entities were joined by a number of Risk Taker personnel. Providing an informal environment within which these different groups can personally interact and discuss new business opportunities is a hallmark feature of the CHART Exchange.

The Tuesday session was more business-oriented. Glenn Clark – CHART’s “Earliest Adopter” – served as the moderator for the meeting. The morning session was structured for the Agencies and Vendor Partners in attendance. Glenn opened the meeting with a brief overview of the group’s history. He took a humorous, lighthearted approach in describing the challenges and obstacles encountered in turning the concept of CHART into a viable membership organization.

As noted in his presentation, the unqualified success of the inaugural Event last October – 330 participants, 152 meeting appointments with Risk Takers, and over two dozen new business opportunities surfaced – demonstrated that we “scratched an itch” in the U.S./London marketplace.

“As noted in his presentation, the unqualified success of the inaugural Event last October – 330 participants, 152 meeting appointments with Risk Takers, and over two dozen new business opportunities surfaced – demonstrated that we “scratched an itch” in the U.S./London marketplace.”

At the conclusion of Glenn’s presentation, Peter Montanaro was introduced. Mr. Montanaro is the Head of Delegated Authorities at Lloyd’s of London. He provided the audience with insights into the benefits of becoming a Coverholder. Mr. Montanaro took the time to explain the application process that needs to be undertaken in order for an agency to secure underwriting authorities from Lloyd’s. This process includes a review of business plans, regulatory status/licenses, financial stability, staff expertise, and systems suitability. Finally, Mr. Montanaro discussed the ongoing expectations for an agency once they achieved Coverholder status: Risk Taker reviews, external audits, continued compliance with Lloyd’s regulations, etc.

Following Mr. Montanaro’s presentation, representatives from C.J. Coleman and Jardine Lloyd Thompson Group (JLT Re) took to the podium to discuss the role of the Broker within the U.S./London marketplace. They described their function as that of a relationship manager, intermediary between the Agency and Risk Taker, and gatekeeper to capacity and products. Time was also spent reviewing the other value-added services offered through Brokers, including analytics/ modeling, marketing, and regulatory/compliance advice.

We then turned the floor over to the audience. Agency representatives were invited to share their CHART experience with the group. These testimonials served to underscore the fact that a number of new business opportunities surfaced during last October’s event would not have been presented to London markets if not for our organization. All Vendor Partners were also given time to describe the products and services available to the CHART membership.

“Glenn Clark initiated the proceedings with a review of how the CHART model could benefit London Risk Takers. The discussion started with a simple statistic: Lloyd’s wrote $15 billion in U.S.- based premium last year – only 1.3% of the $1.1 trillion of insurance business placed domestically.”

An exciting announcement was made to the group during this interactive session. Kevin O’Connor informed the attendees that Thomas J. Ridge would deliver the keynote speech at the Second Annual CHART Exchange event in Baltimore MD. Mr. Ridge served as the first Secretary of the U.S. Department of Homeland Security. He was also twice elected Governor of Pennsylvania, occupying that position from 1995 to 2001.

The morning’s activities concluded with a presentation by Jonathan Swann from CFC Underwriting. This group is the largest independent, specialty MGA in the U.K. Mr. Swann articulated his agency’s capabilities and risk appetites.

The meeting resumed after lunch. A number of Syndicate representatives joined us for the afternoon session.

Glenn Clark initiated the proceedings with a review of how the CHART model could benefit London Risk Takers. The discussion started with a simple statistic: Lloyd’s wrote $15 billion in U.S.- based premium last year – only 1.3% of the $1.1 trillion of insurance business placed domestically. Glenn explained that CHART can help facilitate expansion within the U.S./London marketplace through the identification of new production opportunities. Our model complements – not competes against – existing distribution structures currently in place.

Glenn then articulated CHART’s Risk Taker strategy for 2016: to recruit 15 – 20 committed Syndicates for membership in the organization. The targets would be those firms seeking to expand their U.S.-based premium production through the Delegated Underwriting Authority model.

At the end of Glenn’s presentation, several Agency and Vendor Partner members of the audience were asked to repeat their CHART testimonials for the benefit of the Risk Taker representatives. A select number of Syndicate personnel also stood up to share their experience at the first CHART meeting.

We wrapped up the Tuesday meeting with an invitation to the Syndicates to become members of the CHART Exchange. By joining the organization, these Risk Takers would be able to become active participants at the Second Annual Event scheduled to take place on October 3-5, 2016 in Baltimore, MD.

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