The LMA International Casualty Reinsurance Business Panel brings together reinsurance underwriters from across the Lloyd’s market, specialising in casualty reinsurance QS and XOL international treaty business (non US). Underlying insurance policies in casualty treaty may include financial lines, general liability, auto liability or medical malpractice for example. The panel plays a key role in representing the market’s collective interests and supporting best practices in this complex area.
The ICR Business Panel examines the key issues and trends relating to casualty treaty insurance in the Lloyd’s market. It particularly keeps ahead of emerging risks, such as forever chemicals (PFAS) and other emerging contamination exposures, processed food, concussion, climate risk, social media addiction and artificial intelligence.
Exposure management in international casualty reinsurance is inherently complex due to the unpredictable and long-term nature of the risks. Managing it effectively requires robust data, global legal insight, effective underwriting and constant vigilance. The panel works closely with the LMA’s Exposure Management Working group’s (EMWG) casualty panel to contribute to thinking and Lloyd’s RDS discussions.
Data quality and analysis remain key bottlenecks in international casualty reinsurance, limiting the industry’s ability to comprehensively assess risks. The ICR Business Panel is looking to address this challenge through addressing needs with Lloyd’s and their data analytics teams.
Indexation is an essential tool for managing long-term inflation risk, but its application is notably more complex in casualty insurance due to the long-tail nature of liability claims. As global inflation becomes increasingly volatile, reinsurers must navigate this challenge with greater precision, ensuring clause clarity and sensitivity to jurisdictional nuances.
Unclear wordings, inconsistent legal interpretations and the inherently complex nature of liability exposures present issues with loss definition and aggregation. These factors can lead to significant challenges for both cedants and reinsurers, especially in today’s world of emerging systemic risks and long-tail liabilities.
The ICRBP helps to develop and issue LMA wordings for use across the market. To receive email notification of new wordings, please subscribe.