More Lloyd’s syndicates are looking to make the move into its Singapore hub for Asian reinsurance business, Kent Chaplin, head of Asia Pacific at Lloyd’s told Reactions.
Chaplin was speaking with Reactions at this week’s Singapore International Reinsurance Conference (SIRC).
“There are a number of syndicates looking to start soon,” said Chaplin at SIRC. “Another four or five are seriously interested.
“We’re encouraging syndicates to set up in Singapore that will bring new business, new products, and complement our existing platform,” he added.
Lloyd’s Singapore has grown to 24 syndicates since its 2000 creation. Antares was the most recent to join, its first policy written being marine hull business. The 24th syndicate aims to add to its marine and energy start by adding financial lines and property, dependent on recruiting.
Chaplin noted recent success enjoyed in areas such as construction, where all four members of a Lloyd’s construction consortium (Beazley, Hardy, Canopius and Talbot), have moved into Singapore.
While Inga Beale, the Lloyd’s CEO, recently stated she would like to see 30 Lloyd’s syndicates operating from the market’s China entity, Chaplin (whose Asia fiefdom includes the remainder of the region) says there is no fixed target.
That is certainly not a change in policy, as Lloyd’s is once again moving offices (opening its new one today), after filling its previous two as the Asian hub outpost has expanded.
“The managing general agents know to grow you have to be here,” said Chaplin. “Singapore is seen as an essential platform for doing international business, just as our China hub is acknowledged in similar terms for doing domestic
The Lloyd’s hub in Hong Kong is “still dominant” in Lloyd’s financial lines and life reinsurance, he noted, as well as “strong” in accident and health business.
Lloyd’s is still working with Malaysian regulators on a capital solution to allow the opening of its mainland (tier 1) Malaysian reinsurance listing in Kuala Lumpur.
“Six to twelve months from now I expect to be in the market on mainland Malaysia,” said Chaplin.
Lloyd’s already has a presence as a reinsurer (tier 2) in Malaysia’s Labuan offshore hub.
Unlike Lloyd’s Dubai, however, which opened in March, with seven syndicates writing on their own company paper in Malaysia: “We’re not setting up shop there until we’ve got a license.
He stressed that Lloyd’s in Asia keeps to the same “seamless” standards as in London, in underwriting discipline, claims and risk management standards.
“The business plans are set out for across Asia and for China. Performance is tracked just as we do in London. That’s how we ensure when the tide goes out we’re not caught naked,” noted Chaplin.