Lloyd’s Brussels, the Brexit subsidiary of Lloyd’s of London, is now authorised to underwrite insurance and reinsurance risks located in Monaco.
In a market bulletin, the world’s specialist insurance market said it has obtained authorisation, which will allow it to ensure that business from the city-state will continue to be accessed by Lloyd’s members post-Brexit.
Explaining the need for the licence, Lloyd’s stated: “Following the UK’s exit from the EU on March 29, 2019, Lloyd’s underwriters will cease to be authorised in Monaco. This is because Lloyd’s underwriters’ licence in Monaco is dependent on their authorisation in France, which will cease when UK firms lose their EU passporting rights.”
Meanwhile, as a requirement of the authorisation, a general representative for Monaco has been appointed. Guy-Antoine de La Rochefoucauld will also serve as the subsidiary’s fiscal representative for the territory.
“Lloyd’s Brussels is authorised to write all non-life insurance classes 1-18, and non-life reinsurance business,” read the market bulletin seen by Insurance Business. “Business may be written on an onshore basis, i.e., by a coverholder located in Monaco, or on a cross-border basis, i.e., by a coverholder located outside Monaco or on an open market basis.
“Lloyd’s Brussels is not authorised to underwrite life insurance or life reinsurance business for risks located in Monaco.”