Bite-sized Blueprint One: What are the Complex Risk Platform Proposals?

On 30th September Lloyd’s of London published their vision for the Future at Lloyd’s. Here at r10 we have undertaken a detailed study of the contents of Blueprint One and in the second of a series of bite-sized articles look at the proposals for the Complex Risk Platform and how it may impact your business.


What’s the Complex Risk Platform?

Building upon the success of the existing PPL platform, Lloyd’s intends to accelerate the pace of development and deliver a highly integrated data-centric placement platform.  Standardised data will be captured early in the placement process in order to deliver downstream benefits, such as claims automation and optimised support processes. This will lead to significant changes to the way complex risks are placed.

To control the pace and direction of development Lloyd’ intends to take a financial interest in PPL.

How will this be achieved?

The plan is to move from a “Document Centric” PPL to a “Data First” placement platform. The first steps include enhancements to build interim “Document + Data” solutions, featuring;

  • Document + Data contract builder
  • Access to standard clause libraries
  • Document collaboration tools
  • Creation of core data record

In parallel, work will commence on building an entirely new platform for complex risks.

How will the Data First Platform be structured?

The new Data First platform will have 3 key modules integrating the new Lloyd’s core services and data stores.

Module 1 – Placement

  1. Appetite search.
    Placement module provides Brokers with insights as to the lead underwriters that have appetite for a particular risk.
  2. Follows approached once Lead line is bound,
    Appetite Search capability will also help identify potential followers, to approach once the lead has been bound. Novel capacity structures e.g. Class trackers will be available alongside the new follow only capacity.
  3. Renewals created from prior year data.
    Prior year data will be available for renewal creation. API’s will be developed to integrate with capable broker systems.
  4. A visualisation tool will be available to graphically display complex programmes.
  5. Risk Data can be consumed by pricing tools at the carrier. A data-centric submission will enable auto rating and triage by carrier systems
  6. Linked reinsurance contracts can be created to speed up downstream processing.

Module 2 – Negotiation

  1. Accessible by Brokers, Leading Underwriters & Clients.
    The Negotiation module will be transparent to clients, enabling them to monitor & engage with the placement process.
  2. Negotiation will be multi-modal.
    Face-to-face, text messaging and video chat methods will be supported.
  3. The system will control data permission within submissions.
  4. Underwriters can accept or decline firm orders &/or apply subjectivities
  5. Negotiation module will control the signing down to order
  6. Taxes will be calculated by reference to common tax engine, if data available at pointy of bind
  7. A PDF of the contract will be created & participants advised of their signed lines at the point of bind.
  8. MTAs will be processed via the platform and updated policy / certs issued

Module 3 – Customer Portal

  1. Clients will be able to upload data assets to support their placements and build their own comparative risk profile
  2. Data can be consumed from the portal by the broker to create submissions
  3. Clients can track the progress of their placements & collaborate throughout the placement process
  4. Client data rooms will be hosted on the platform and brokers will permission access


What will underpin this new placement platform?

The Future of Lloyd’s programme is underpinned by significant investment in central services & data standards:-

  1. A “Digital Contract Builder” will be used to create submissions from clause libraries and data standards requiring brokers to seriously consider their approach to the collation, validation and processing of data for submissions.
  2. Submission data will be stored centrally and used to drive downstream processes (Tax, accounting, automated loss handling, analytics, etc)
  3. Lloyd’s will curate an ecosystem of data services to assist with validation, augmentation and quality



Detailed planning is underway, however, their initial timeline outlines

How will the new Complex Risk Platform impact your business?

Moving to a digital platform for placing complex risks will have a significant impact for all market practitioners. The intermediate Document + Data version will be launched in January 2021 and the Data First platform will launch in January 2022.

Brokers will need to be able to meet the challenge of providing quality submissions, built from structured data.  This need to inform staffing, training and technology needs going forwards.

The opportunity to exchange data via API’s should realise meaningful benefits across the back office, particularly when combined with the potential for straight-through processing.

Compliance functions will need to review utilising the core market functions for KYC, AML and Sanctions checking to see if they can be comfortable with the proposed solutions.

Overall, market participants will need to work with their technology vendors to assess their readiness and suitability for the market of tomorrow.

How can r10 help

With our in-depth London Market expertise, r10 is uniquely placed to help guide your organisation through the Future of Lloyds change programme.  Over the coming weeks, we will continue to update our blogs with insights and guidance on what the changes may mean to you.

Please get in touch for more information on how r10 will help you prepare to play your part in the market of the future.


Read the next bite-sized article in our Bite-sized series “What are the Risk Exchange Proposals?”, which is the second out of the twelve proposed Future of Lloyd’s capabilities.


Author: Chris Carney