Beazley Launches First ESG Syndicate at Lloyd’s

Specialist insurer Beazley has received in-principle approval from Lloyd’s to launch Syndicate 4321 from Jan. 1, 2022. Once fully approved, the syndicate will focus exclusively on offering additional capacity to businesses that perform well against environmental, social and governance (ESG) metrics and will be led by Will Roscoe, head of the Market Facilities Division.

Syndicate 4321, which has been established under the Lloyd’s Syndicate-in-a-Box (SIAB) framework, will operate a consortium arrangement led by Syndicates 623/2623. Eligible clients that can meet the standards of the ESG rating scoring criteria will be able to access additional capacity from Syndicate 4321.

Syndicate 4321 will underwrite on a multi-line basis, to ensure diversification and balance. In the initial phase the syndicate will accept, D&O, healthcare, financial institutions, London market U.S. cyber, property, marine hull, marine cargo and aviation business.

All premiums received by Syndicate 4321 will be invested responsibly, in line with Beazley’s responsible investment strategy.

“By creating the first specialist ESG syndicate at Lloyd’s, Beazley is taking an early step in delivering our commitment to embed ESG across our organization, including our underwriting,” commented Adrian Cox, CEO, Beazley.

“Beazley has a track record of creating innovative underwriting vehicles and Syndicate 4321 delivers this to clients that have already achieved ESG standards. We continue to support all our clients, at whatever stage they are at in their ESG journey, with meaningful risk management and insurance capacity,” Cox added.

“Syndicate 4321 is an innovative and tangible way to support those businesses that invest in ESG by offering additional capacity,” said Will Roscoe, head of the Market Facilities Division. Evidence demonstrates that businesses with high ESG ratings are likely to have a lower risk profile and we are looking forward to building long-term partnerships with clients that, like us, value doing the right thing.”

About Beazley

Beazley plc is the parent company of specialist insurance businesses with operations in Europe, the United States, Canada, Latin America and Asia. Beazley manages six Lloyd’s syndicates and, in 2020, underwrote gross premiums worldwide of $3.6 billion. All Lloyd’s syndicates are rated “A” by A.M. Best. Beazley’s underwriters in the United States focus on writing a range of specialist insurance products. In the admitted market, coverage is provided by Beazley Insurance Co. Inc., an A.M. Best “A” rated carrier licensed in all 50 states. In the surplus lines market, coverage is provided by the Beazley syndicates at Lloyd’s. Beazley’s European insurance company, Beazley Insurance DAC, is regulated by the Central Bank of Ireland and is “A” rated by A.M. Best and “A+” by Fitch.

Source: Beazley