Barbican Insurance Group has become the latest Lloyd’s underwriter to say it is to withdraw from the marine and cargo classes.
The firm on 8 November announced that its 2019 business plan for Barbican Syndicate 1955 had received written approval from Lloyd’s.
Under the plan it said the syndicate would now focus “on core markets and will increase its focus on the specialty lines sector”. Specialty will make up nearly half of its overall stamp capacity for 2019.
However, this will also see “Syndicate 1955 withdraw from property insurance, marine cargo, and hull insurance”.
See related article: P&I insurer quits Lloyd’s amid cost concerns
Commenting on the announcement, Iain Bremner, managing director of Barbican Managing Agency Limited, said, “Barbican fully supports the steps that the market is taking to enhance its overall resilience. As part of this push, our 2019 business plan will see us focus on our core markets and capitalise on our strong standing in the specialty lines sector.”
He added, “We have taken some hard decisions that reflect prevailing market conditions to ensure the sustainability of our plan. We firmly believe that our business strategy for 2019 and beyond will provide Barbican with a very strong platform to manage current market conditions effectively and further strengthen our position in our key markets.”
Barbican’s move comes hot on the heels of the Standard Club decision to close its Lloyd’s syndicate in October. Lloyd’s has seen some high profile marine underwriting departures in recent months as the market looks to clamp down on what it views as badly priced business.
Premiums across the marine insurance classes remain at a critically low level. However, the issue may well be with the cost of doing business in Lloyd’s as much as it is the inability to obtain an adequate price for the cover