Lloyd's: Law and Practice
AN OVERVIEW OF THE CURRENT LLOYD’S MARKET
In general parlance, “Lloyd’s” is an insurance market in Lime Street, London, where specialist brokers place risks with specialist underwriters acting on behalf of underwriting syndicates. The Lloyd’s market has a history dating back to the late seventeenth century. Strictly speaking, however, “Lloyd’s” is a statutory corporation, incorporated by a private Act of Parliament in 1871 by the name of Lloyd’s.1 Its main statutory objects are the carrying of insurance business by its members on their own account and the advancement and protection of those members in connection with the insurance business carried on by them.2 Lloyd’s does not itself carry on insurance business, nor is it authorised to do so, but it provides, and, through its governing body the Council of Lloyd’s,3 regulates,4 a marketplace where its members each carry on insurance business on their own account. Lloyd’s, i.e. the statutory corporation, is sometimes also referred to as “the Society [of Lloyd’s]”5 or “the Corporation [of Lloyd’s]”. Lloyd’s Acts 1871 to 1982 themselves refer to members underwriting insurance business “at Lloyd’s” as if it were a physical location or marketplace. Colloquially the expression “Lloyd’s” is often also used to describe the market, or an aggregation of some or all of the members of Lloyd’s.