LMG Forum January 2012

1. LMG ForumJanuary 2012 Christopher Croft, LMG Secretariat Rob Gillies, LMAMark Barwick, LIIBA

2. Agenda • Modernisation update • Endorsements – the road to March 5th • ACORD RLC Programme

3. In ink, therefore it is…?

4. ECF2 Current Status 16 Jan 2012 • 22 carriers receiving live messages • 16 fully integrated into own workflow • Other carriers to join by arrangement with Xchanging Claims Workflow Triggers (CWT) • CAS & SSO are live • 84 carriers plus XCS rolled out in production • Rollout is now largely complete, with only 4 carriers remaining to be completed by the end of Q1. Claims Agreement Services (CAS) & Single Sign On (SSO) Document File Viewer (DFV) • DFV is live and converting 5000 – 7000 documents a day • Some intermittent teething problems continue and are scheduled for resolution by the end of Feb • Rollout in line with CAS & SSO schedule Claims Workflow Services (CWS) • Service deployed to 68 organisations • Only 1 organisation remains to be implemented by the end of Q1 Claims Data Warehouse (CDW) • ECF001, ECF002, ECF003, ECF004, ECF005, LADD & LREC are in use with 134 users

5. eAccounts eAccounts Current Production use Miller, Price Forbes, UIB, Guy Carpenter, Aon UK, Lockton, Towers Watson and Ropner continue with live operation NMB, Houlder & Aon Benfield are undertaking business testing as part of convoy three implementation. The Winter maintenance release remains on schedule. eAccounts Release 2 (R2) Xchanging continue working together with the Market to deliver R2 using the ‘big bang’ approach to delivery. 5 out of 6 final estimates and timescales for the requested change requests have been delivered. Development has approved by the AAC. The corrections CR is proving to be complex and we anticipate the estimate will be ready by the end of January. MAT planning continues

6. LMG 2012 targets

7. Non Bureau Accounting • Live partnerships involving: • Aon • Willis • XL • ACE • Organising an event for potential new participants • Case study/business case document to be published

8. Endorsements Manager of the Month

9. An Endorsements Manager of the Month official partner

10. Endorsements broker of the month

11. Endorsements insurer of the month

12. Questions?

13. Agenda Endorsement Initiative Update Electronic Support for Endorsements January 2012

14. Agenda Comments Endorsement Initiative Update • Build-up to 5 March – all classes in scope • Reviews with MAs • Broker implementations and broker engagement

15. Agenda Roll-out matrix Endorsement Initiative Update www.londonmarketgroup.co.uk > Placing Support > Electronic Support for Endorsements

16. Exchange Message Volumes

17. Agenda Managing Agent Data Endorsement Initiative Update

18. Agenda Response times Endorsement Initiative Update

19. Agenda Response times Endorsement Initiative Update

20. Agenda Endorsement Initiative Update What next • Project surgeries • Systems, procedures and practice document • Readiness checklist • Engagement with underwriting groups • Communications All classes live: 5 March 2012

21. Agenda Endorsement Initiative Update Questions?

22. Contacts • Lloyd’s Contacts • James Bobbitt (Technical) • Telephone: 020 7327 5248 • Email: james.bobbitt@lloyds.com • Paul Willoughby (Project Management) • Telephone: 020 7327 6634 • Email: paul.willoughby@lloyds.com • Trevor Maddison (Relationships) • Telephone: 020 7327 5231 • Email: trevor.maddison@lloyds.com • LIIBA Contact • Chris Buer • Telephone: 020 7280 0154 • Email: chris.buer@liiba.co.uk • LMA • Rob Gillies • Telephone: 020 7327 8377 • Email: robert.gillies@lmalloyds.com • Peter Holdstock • Telephone: 020 7327 8383 • Email: peter.holdstock@lmalloyds.com • LMG Secretariat contact • Steve Hulm • Telephone: 020 7327 5249 • Email: steve.hulm@londonmarketgroup.co.uk • IUA Contact • John Hobbs • Telephone: 020 7617 4445 • Email: john.hobbs@iua.co.uk

23. LMG Forum – ACORD UpdateJanuary 2012 Mark Barwick Global Reinsurance Large Commercial Programme Director, ACORD

24. Agenda Placing Exposure Reporting Accounting & Claims Roadmap

25. Placing London Endorsements ACORD Form based placing in other markets Post placement message likely to be piloted in 2012 by Ruschlikon DRI placing Document delivery being considered – better than email Exposure Reporting Message now available

26. Exposure Reporting - The Problem Insufficient, Little, if any, data supplied Typically paper format No standard database to capture schedules Exposures recorded on cards / datasheets Manually calculated exposures Data is costly and unreliable Requiring significant checking & re-work Inconsistent regarding data definitions A mixture of external and proprietary code sets regulatory requirements regarding data reliability

27. How Can Standards Help? Reliable data – consistent definitions and format assists regulatory requirements to prove data is correct Cheaper data – The costs associated with receiving and supplying data will drop since only one format to support More data – As data acquisition costs drop more data will be provided Quicker data - receivers and senders of data don’t have to reformat it and interpret it for each trading partner

28. ACORD Exposure Reporting Standards Spreadsheet standards available for: Binding Authority property schedule – ER3001 Simple address level reporting – ER3002 Aggregated exposure reporting – ER3003 XML standard available for all above as well as: Comprehensive Exposure Reporting Insurance specific code sets for: Perils Construction types Occupancy (usage) types GeoCode Match Levels (precision of Lat/ Long coordinates)

29. The three main cat modellers are committed to implementing ACORD import and export functionality - AIR Worldwide, EQECAT and RMS Other notable supporters: CRESTA PERILS Allianz, Lloyd’s, Scor, Swiss Re, Tiger Risk Support for ACORD’s Exposure Reporting Standards

30. Accounting & Claims Premium and claims advice and settlement Insurance and Reinsurance, Broker or direct Geography – 6 continents & more than 30 countries EBOT – Electronic Back Office Transactions ECOT – Electronic Claims Office Transactions Ruschlikon Rulebook – target performance standards Ruschlikon Lite – Low cost option for cedents/brokers

31. FOUR COMMITTEES NON ONE STANDARD

32. Ruschlikon Steering Group AonBenfield, Guy Carpenter & Willis, Swiss Re, SCOR, Munich Re, Axis, XL Re and Catlin Bermuda Message volumes continue to rise; 2010 = 150,000, 2011 = 215,000, projected 2012 = 360,000. Steering Group liaises with other implementation communities and coordinates work of the Business Implementation Group (BIG) Pilots being considered for 2012 for placing administration Visit www.ruschlikon-global.com

33. London Non Bureau Group Participants - Chubb, Xl Insurance, XL Re, Chartis, RSA, Ace, Willis, Aon and Marsh. Implementations in 2011 between Willis and Aon and XL insurance and ACE Chartis have secured executive support and are finalising their business case Focus is large commercial insurance – EBOT now, ECOT later http://www.londonmarketgroup.co.uk/index.php?option=com_content&view=category&id=102&Itemid=213

34. US Advisory Group Participants - Aon, Guy Carpenter, Willis, Chartis, Munich Re, Swiss Re, Partner Re, Travelers and XL Re Implementations in place this year between Willis and Aon and XL insurance and ACE Chartis have secured executive support and are finalising their business case Focus is on large commercial insurance – EBOT only to start with (ECOT later) See http://www.acord.org/usrecom/Pages/default.aspx

35. Ruschlikon in Bermuda Steering Group Participants - Chubb, Xl Insurance, XL Re, Chartis, RSA, Ace, Willis, Aon and Marsh. Implementations in place this year between Willis and Aon and XL insurance and ACE Chartis have secured executive support and are finalising their business case Focus is on large commercial insurance – EBOT only to start with (ECOT later)

36. Further developments in 2012 Franco-German event planned for Q2 Targeting Brokers, insurers, cedents, captive brokers Could lead to groups in each market being formed

38. FIND OUT MORE ABOUT THIS AT THE FEBRUARY 23RD ACORD CLUB. Contact mbarwick@acord.org