Lloyd’s has launched a new software tool to improve the quality of insurance contract review across the world.
The tool, Contract Confidence, uses advanced search techniques to scan contracts and check for errors and discrepancies. For example, the tool runs checks against 1,400 open market rules (regulatory, tax and Lloyd’s advisory) and highlights where the contract has failed or may have failed a check.
It also offers the functionality for underwriters to set their own rules, so that risks with exposures outside of appetite can be identified quickly and comes pre-populated with the full set of clauses from the new Lloyd’s Wordings Repository.
The tool benefits customers by creating more right-first time contracts, which means fewer disputes, faster claims resolution and lower policy costs
It benefits insurers in the Lloyd’s market by reducing administration and claims costs, thereby improving profitability. Contract Confidence is scalable and has been developed to accommodate the changing risk appetites of the Lloyd’s market. The tool is available for subscription from today. Please visit our contract confidence webpage for further details.
Jon Hancock, Lloyd’s Director of Performance Management and the executive sponsor of Contract Confidence, said:
“We wanted to build a tool that delivered precisely to the unique requirements of the Lloyd’s market. That’s why we’ve worked with four Lloyd’s managing agents throughout the build process of Contract Confidence. What we have ended up with is a solution that will greatly improve the contract certainty for customers and reduce costs for underwriters. This is a great example of Lloyd’s and market participants working together to leverage technology, reduce unnecessary costs and deliver better outcomes for customers.”
The tool was developed by Lloyd’s in partnership with the Lloyd’s Market Association and four Lloyd’s managing agents, including Brit, Liberty Specialty Markets and Sirius International.