You are the chief Underwriting Officer (CUO) of a newly formed Lloyd’s syndicate, EC Ltd.
The board of EC Ltd have secured capital investment and Lloyd’s have provisionally approved their syndicate Business plan.
EC Ltd’s vision is to:
Be a top 20 property and casualty syndicate, by income, within five years.
Underwrite both insurance and reinsurance on a diversified basis.
Establish global capability which includes a specialism in North American risks.
Have unrivalled underwriting expertise.
As the CUO, you are responsible for:
Recruitment of key personnel for the underwriting function
Pricing of risks
Outward reinsurance.
Portfolio management.
Risk monitoring.
The Board have asked you to devise and implement the underwriting strategy.
Question
Identify three significant underwriting challenges for EC Ltd in establishing its vision.
Devise an underwriting strategy that addresses the three significant challenges whilst achieving EC Ltd’s vision.
Recommend how you will implement the underwriting strategy you have devised, including key milestones.
Sample Solution