Posted on: 16 January 2025
The International Underwriting Association is reviewing its core services for London insurers to address the changing nature of risk transfer. In its 2025 business plan the organisation has announced plans to develop a central risk function to address issues such as sustainability and cyber risk.
The review process will assess the operation of existing underwriting and claims committees focussing on traditional lines of business. More than 30 such groups made up of senior company market representatives are operated by the IUA.
Chief Executive Dave Matcham said: “Recent years have seen the emergence of new risks, often driven by technological change, that span traditional classes of insurance business. London is at the forefront of developing insurance and reinsurance solutions for these challenges and the IUA needs to make sure it is equipped to help members respond to modern realities and changing customer needs.
“We will be looking to foster better cooperation on issues that have widespread impact. A more holistic approach has already been seen in our work on sustainability and cyber risk, but there are many other areas requiring similar discussion. For example, artificial intelligence, geopolitical uncertainty, parametrics and insurance distribution models.”
Elsewhere in its 2025 business plan, the IUA focuses on education initiatives, claims issues, regulatory developments and operational digital enhancements. The association is expanding its training opportunities in response to increased demand from companies looking to develop next-generation talent. Around 40 events, policy wording masterclasses and networking breakfasts are planned, together with introductory examinations for professional indemnity and directors and officers practitioners.
Claims good practice guides will be published and evolving claims trends, particularly social inflation and the growth of third-party litigation funding and class actions will be investigated.
The association will also be monitoring the finalisation of the Solvency II framework in the UK and anticipating a new policy statement on Consumer Duty regulations.
Lastly, the digital transformation of the London Market through the delivery of phase 1 of the Velonetic Blueprint Two initiative is very important to IUA members. The association will be at the forefront of key strategic and operational discussions through its role as one of three shareholders in Velonetic, alongside DXC and Lloyd’s.
