It’s anticipated that 40% of Lloyd’s revenue will be generated from delegated authority (DA) in 2026 and it’s clear that it’s no longer a “bolt-on distribution channel”, a point that was hammered home at a recent MGAA Breakfast Briefing. In a panel discussion chaired by CEO Mike Keating, industry experts from Pen Underwriting, Yutree Underwriting, Hellenic Hull Management and Sirius Point discussed how the industry must evolve to support the DA market on a technology, innovation and talent front.
The Importance of Lloyd’s and the Company Market
Tom Downey, CEO of Pen Underwriting, emphasised the role Lloyd’s can play in supporting MGAs with product innovation, while Ilias Tsakiris, CEO of Hellenic Hull Management, highlighted that Lloyd’s clear structure and oversight provides a key competitive advantage. Rob Gibbs, CEO and President of SiriusPoint International, pointed to Lloyd’s unparalleled concentration of underwriting talent and its ability to connect that expertise directly with the customer base.
A recurring theme, however, was the increasing overlap between Lloyd’s and the Company Market. As Laura Hancock, MD of Yutree Underwriting pointed out, whilst Lloyd’s has traditionally been associated with niche, complex risks and recognised for its global licensing, the Company Market is rapidly expanding its international reach and competing more aggressively on pricing and efficiency.
Tom Downey questioned how Lloyd’s can maintain differentiation as these historic advantages narrow. Rob Gibbs pointed to the rise of consortia as a powerful counterbalance—structures that allow Lloyd’s to bring together multiple specialist syndicates.
The consensus was clear, convergence is not inherently negative. As Laura Hancock observed, competition between Lloyd’s and company markets is driving innovation, particularly in the MGA space.
Innovation and Data
Technology and data standards sparked one of the most candid parts of the discussion. Rob Gibbs outlined SiriusPoint’s expectations as a capital provider, aligning closely with Lloyd’s data standards rather than creating proprietary requirements. “Data sets are table stakes,” he noted, but people, trust and relationships matter just as much.
However, frustration was evident from the MGA side. While MGAs have invested heavily in modern platforms and automation, insurers have often lagged in adoption. As Laura Hancock put it, there is little value in innovation if data still has to be manually downloaded and re-entered into spreadsheets. The call was clear, insurers and Lloyd’s need to lead on this.
Panellists also challenged the industry’s tendency to request excessive or outdated data. Tom Downey questioned why certain data points, relevant decades ago, are still demanded today, while others stressed the need for a single, common data standard rather than hundreds of bespoke requirements.
Oversight, Governance, and Consumer Duty
With reports suggesting that up to 13% of MGA revenue is being spent on oversight, the balance between governance and efficiency was openly debated. Tom Downey was unequivocal; oversight and governance are non-negotiable. He said “if you start with the customer and then work backwards, you will be doing a pretty good job”.
Rob Gibbs described a collaborative oversight model, bringing internal legal, compliance, and underwriting experts together from the outset to evaluate the MGA, which helps to reduce any “surprises”.
On Consumer Duty, Laura Hancock struck a positive note. While acknowledging the operational burden, she argued that Consumer Duty has improved decision-making by forcing firms to properly analyse data, assess fair value, and put customer outcomes at the centre. Used well, regulation can be a force for good.
Priorities for Lloyd’s
When asked what Lloyd’s must focus on, consistency and efficiency topped the list. The panellists emphasised that MGAs need clarity and stability and that Lloyd’s needs to maintain consistency in its expectations. Reducing friction (e.g. the duplication of compliance audits) and improving operational integration between Lloyd’s, insurers, and MGAs were highlighted as priorities.
There was also recognition of progress. Rob Gibbs noted a shift away from annual, business plan submissions towards a continuous dialogue.
Talent and the Future Market
The discussion closed with a forward-looking focus on talent. While diversity has improved, panellists agreed that the industry must do more to clearly articulate career paths, particularly beyond traditional university routes. Apprenticeships, school outreach, and collective industry action were all seen as essential.
Perhaps, most powerfully, Ilias Tsakiris reminded the audience that insurance has purpose. From enabling trade to addressing climate risk, insurance underpins change and it’s that sense of purpose which matters deeply to the next generation entering the market.
If you’ve enjoyed this blog why not check out more insights from recent events we’ve attended including Diving Into Insurtech & Incumbent Partnerships – ITC London and Insurtech Journeys: From Product to Profit – ITC London.
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