March 22, 2018
Hiscox CEO Bronek Masojada has been appointed chair of the Placing Platform Limited (PPL) board.
Masojada will replace outgoing chair David Ledger and will be responsible for for driving forward adoption of the electronic placing platform at Lloyd’s.
Last week, Lloyd’s issued a mandate for electronic placement as it looks to drive the market’s transformation from paper to digital and ensure the market realises the benefits of electronic placement.
From the end of the second quarter this year, each Lloyd’s syndicate will be required to have written at least 10 percent of its risks electronically. This target will rise by another 10 percent each quarter until the fourth quarter to reach 30 percent, with further targets to be confirmed before the end of the year.
Lloyd’s has warned that failure to comply with these targets will result in syndicates paying additional fees, as well as potentially being subject to capital loading.
Masojada said that the ambition of the PPL board is to drive adoption from 15 percent to 80 percent of London risks.
“We will be working with the broking and underwriting communities to hit this target. I ask all those interested in the long-term success of London to identify and get on with what they can do to achieve this, rather than enjoying the spectator sport of watching others fail,” he said.
““The market has been playing the modernisation game for a long time and I vividly remember previous attempts that delivered no obvious benefit. I remain unapologetically a champion of our efforts through PPL, and other London Market Target Operating Model initiatives, because their successful implementation will mean that we are getting the right data at the front end of the placement process and then the critical structured data at the end. It is this data – and the removal of slow, expensive paper-based processes – that will support ongoing face-to-face negotiations where it matters and help to ensure the future competitiveness of the London Market.” Masojada added.
Meanwhile, Ledger commented: “PPL has come a long way in the last few years and this is thanks to strong collaboration by all the market associations. The fact that over 15,000 risks have been bound on the system is proof positive that the platform works.
“Those businesses that are embracing electronic trading are already beginning to reap the benefits from both an efficiency and growth perspective. We do however need to move faster as regards adoption or we run the risk of losing all the momentum that has been generated over the past few months. I am absolutely delighted that Bronek has agreed to become Chair. He is a passionate advocate for market modernisation and will undoubtedly lead the next stage of PPL’s development with drive and commitment.”