On Feb. 12, UK Lloyds requested data for annual UK FSCS reporting.
UK Lloyds informed members and managing agents of procedure and timetable for the collection of information in connection with UK FSCS reporting, as at Dec. 31, 2024.
Follows UK Lloyds Feb. 2024 requested annual UK FSCS reporting data, see #202789.
Background
In connection with UK FCA and UK PRA rules relating to calculation of contributions to the UK FSCS retail pool, UK Lloyd’s is required to provide them with an annual report.
This is sent to UK FCA and UK PRA with information relating to all of the premiums and liabilities in respect of relevant retail business, as defined under the UK FSCS scheme.
Managing Agents
Managing agents are required to submit data in respect of relevant business for each managed syndicate at Dec. 31, 2024 to UK Lloyd’s by completing a required template.
This is to enable UK Lloyd’s to submit aggregate level numbers to UK FCA and UK PRA by May 30, 2025 and each agent must submit a signed return, even if it is nil return.
The CFO or another director of the agent must confirm information submitted has been prepared in accordance with instructions, and must complete the sign-off to this effect.
Reporting Rules
Reporting rules are set out in UK FCA Handbook FEES 6.5 and in UK PRA Policyholder Protection Rulebook via details set out in FCA CP17/36 and PRA Instrument 2017/39.
For the purposes of interpreting all of these provisions, the Handbook refers to the PRA Policyholder Protection Rulebook for the tariff measures and definitions as applicable.
Using those definitions, business which UK Lloyd’s needs to report against for this is set out as gross written premiums for year preceding that in which date for submission by UK Lloyd’s required report is based, for protected contracts with eligible claimants
Additionally for best estimate liabilities protected contracts with eligible claimants.
Accordingly, UK Lloyd’s needs managing agents to provide this gross written premium and best estimate liabilities information, only in respect of all relevant business written on behalf of syndicates so it can fulfill its reporting obligations to UK FCA and UK PRA.
The reported figures should include the proportion of relevant business written by a managing agent on behalf of syndicates under management, as both lead and follow.
Effectiveness
The template must be completed and returned by May 2, 2025, even if a nil return.
