Beazley has been granted “in principle” approval from Lloyd’s to transition its Smart Tracker Special Purpose Arrangement (SPA) 5623 to a full syndicate with effect from the Jan. 1, 2023, subject to Lloyd’s agreement of the syndicate business plan and final approval.
From January, Syndicate 5623 will exclusively underwrite business accepted by Beazley’s Smart Tracker.
The Smart Tracker was launched in 2018 and has been profitable for all closed years of account to date. It participates on London market broker facilities, line slips and consortia business using an efficient, lower cost “follow” model. (With a follow model, the syndicate follows the decisions of lead underwriters on the risk).
Currently this business is accepted into Beazley Syndicate 3623 and then reinsured to SPA 5623, which is backed by third party capital. From January 2023, all business will be written directly into Syndicate 5623, and the Smart Tracker’s underwriting appetite will remain unchanged.
Will Roscoe, who has managed the Smart Tracker since 2019, has been appointed active underwriter of Syndicate 5623.
“The Beazley Smart Tracker’s innovative ‘follow’ model, is designed with operational efficiency and rigorous underwriting at its core, reducing the traditional duplication of costs and improving efficiency for brokers and clients,” commented Adrian Cox, CEO of Beazley.
“Its success demonstrates broker, client and third-party investor support of this new underwriting approach, which I’m delighted has been recognised by Lloyd’s’ support of our plan to transition the Smart Tracker from an SPA into a full syndicate from next year,” Cox added.
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