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Lloyd’s syndicates reach out to developing economies

Eight Lloyd’s syndicates have committed $US400 million ($553.92 million) to help emerging nations tackle underinsurance and improve economic resilience against natural catastrophes.

The participating syndicates are from Amlin, Beazley, Hiscox, Mitsui Sumitomo Insurance Group, Nephila, RenaissanceRe Syndicate Management, Tokio Marine Kiln and XL Catlin.

The group will engage with governments and non-governmental organisations, offering their specialist underwriting expertise and new insurance capacity.

“We are keen to work closely with organisations across the globe to help protect economic growth in developing countries,” Lloyd’s Director of Performance Management Tom Bolt said.

The group says well-designed risk-sharing initiatives hold the key to success.

Emerging economies across Asia, Africa, and Latin America contribute 40% to global GDP but represent only 16% of insurance premium, leaving them extremely vulnerable to disasters.

The group also aims to strengthen ties with global initiatives such as the Insurance Development Forum, created by the International Insurance Society.

Membership of the group is open to the Lloyd’s market and other managing agencies.

The group has issued an open invitation to work with international organisations including the World Bank and the UK Government’s Department for International Development.