Lloyd's names may launch company
Tuesday 15 April 1997
The names, led by veteran activist John Rew, say they are being forced to use other reinsurers in the Lloyd's market who are overcharging them, a claim strongly denied by Lloyd's last night. Mr Rew, a founder of the Association of Lloyd's Members, wants to raise an initial pounds 600,000 from 13,006 affected names to look at the possibility of forming a self-help syndicate.
He believes that orphaned names, with a combined stamp capacity of almost pounds 1bn, are being overcharged by as much as pounds 120m by some specialist Lloyd's reinsurers. But a Lloyd's spokesman said: "We do not think that the [overcharging] figures stand up. The names are using the commercial market and there is plenty of competition there."
And he questioned the viability of the proposed new venture: "Superficially it looks a good idea but how feasible it is I do not know. The largest syndicates currently have stamp capacity of pounds 250m."
At least half of the 13,000 names have ceased trading in the Lloyd's market, leading Mr Rew to conclude that up to pounds 450m of deposits could be locked up in the system. Lloyd's requires 100 per cent of stamp capacity to be backed by deposit. None of the names can formally leave Lloyd's until their 1993 and 1994 open years are closed. Under Lloyd's rules, they can only obtain reinsurance via another Lloyd's vehicle.
The 13,000 names have been wooed by several Lloyd's syndicates, such as 1227, managed by Octavian and backed by Terra Nova Bermuda.
- 1 End of the licence fee: BBC to back radical overhaul of how it is funded
- 2 This restaurant has misunderstood the concept of 'cheese and biscuits'
- 3 Raif Badawi, the Saudi Arabian blogger sentenced to 1,000 lashes, may now face death penalty
- 4 Delhi bus rapist blames dead victim for attack because 'girls are responsible for rape'
- 5 PornHub turns masturbation into energy in bid to save the planet
New theory could prove how life began and disprove God
This is what it's like to be dead, according to a guy who died for a bit
End of the licence fee: BBC to back radical overhaul of how it is funded
'Jihadi John': CAGE representative storms off Sky News accusing Kay Burley of Islamophobia
Ukip would cut billions from Scottish budget to fund English tax cuts
Nearly 100,000 of Britain's poorest children go hungry after parents' benefits are cut
iJobs Money & Business
£25000 - £30000 per annum + benefits: Ashdown Group: A global leader operating...
£15000 - £16000 per annum: Recruitment Genius: A Customer Service Advisor is r...
£22000 per annum + pension,bonus,career progression: Ashdown Group: An establi...
£40000 - £50000 per annum + pro rata: SThree: SThree Group have been well esta...