Lloyd’s Gathers Business Interruption Data for UK Regulator

Lloyd’s of London is collating details of insurers’ business interruption coverage for the Prudential Regulation Authority and is in discussions about a government backstop to cover future pandemics, it said in a letter seen by Reuters.

It asked its members to provide data for the regulators by April 24, it said in a “Dear CEO” letter sent to members on Friday.

Lloyd’s also said it was talking to the UK finance ministry, regulators and business partners about a “Pandemic Re” government backstop and would publish preliminary estimates of the impact of COVID-19 on its members in early May.

Insurers including Lloyd’s of London member Hiscox have come under fire from businesses for not paying out following lockdowns around the world due to the pandemic.

(Reporting by Carolyn Cohn, editing by Huw Jones)

Related:

• European Risk Mgmt Group FERMA Supports National Backstops for Future Pandemics
• Hiscox Says Its Business Interruption Exposure Is Limited in Europe, U.S.
• Many Insurance Policies Bought by Small UK Firms Don’t Cover Pandemic: Regulator
• Lloyd’s Faces COVID-19 Claims from Multiple Insurance Lines, Says CEO Neal