'The plan is not a solution'

Click to follow
The Independent Online
THE BUSINESS plan drew a positive reaction from many of the representatives of action groups fighting for financial help for stricken underwriting members, and representatives of market professionals. However, they expressed concern that nothing had been done about the largest losses.

Neil Shaw, chairman of the Association of Lloyd's Members: 'The plan is not a solution to the very serious problems . . . but it is a well thought out strategy. There is one major issue, litigation, which has been addressed but to which no solution is proposed. Further work . . . should be put in hand without delay.'

Christopher Stockwell, chairman of the Lloyd's Names Associations Working Party: 'The present names must be treated justly and compensated for the appalling wrongs that have been done to them and for which they are the innocent victims. We welcome Lloyd's admission iin its plan that its present problems are of its own making'.

Sir Peter Miller, former chairman of Lloyd's and chairman of the Miller Insurance Group, a specialist broking group: 'Legal disputes have not been resolved and that is a weakness but it is the best report that could have been produced.

John Stace of Stace Barr, a Lloyd's members agent: 'It will take many years to re-build the 'trust' on which Lloyd's has traditionally traded. Those who work in the market should only prosper if the names prosper as well'.

Trevor Bradley, managing director of The Knightstone Group, a Lloyd's underwriting agency: 'Lloyd's has a continuing moral duty to help distressed Names. The plan fails to indicate how they can be given material help, or how a settlement of litigation may be achieved. Further work will be needed to reach an equitable settlement to ameliorate losses'.

Alfred Doll-Steinberg, chairman of the Gooda Walker action group: 'It is a positive document for 'burned' Names and Lloyd's has expressed willingness to commence negotiations to settle losses'.

Comments