The Shareholders of the London Market Joint Venture (XIS and XCS) - DXC Technology, Lloyd's and the International Underwriting Association (IUA), have announced a $465 million USD contract extension to ensure seamless continuity for the activities of London insurance market customers whilst DXC moves forward with the transformation of the market's IT systems.
Following a previous agreement to build the digital platform that will underpin the London market's transformation, in the latest contract the parties have agreed on a set of services that will create the foundation to safely transition approximately 400 London market insurance companies over to the cloud-native digital platform running on AWS. The agreement includes provisions for operational resilience in line with new industry regulations.
As the world's largest insurance centre, the London insurance market represents 7.6% of the global commercial (re)insurance market, employs 47,000 people across the UK, and makes up almost a quarter of the City of London's GDP, with its gross written premium worth over US$110 billion.
Supporting the Market's Joint Venture, and as the Joint Venture's largest shareholder, DXC will work with Lloyd's, the IUA, and all market associations and participants to transition London market insurance companies to the new digital platform, bringing significant improvements in speed and efficiency. The work is being done in support of the Future at Lloyd's initiative and in conjunction with brokers, managing agents, syndicates, and insurers of the London insurance marketplace. One of the biggest current cloud migrations in the world, the goal is to transform the London insurance market from a largely paper-based, analogue set of processes to one that is data-focused, automated, and cost-efficient.
John Neal, CEO of Lloyd's said: "In announcing this extension, Lloyd's, DXC and the IUA are demonstrating our commitment to digitally securing the activities of London market customers in both the long and short term. With the Future at Lloyd's transformation, we will transition to a single platform that will provide automated processing and accounting for the market, leading to a substantial reduction in operating costs, and providing customers with a much faster, better service."
"The new digital platform that we are building will transform the London market into one of the most technologically advanced insurance markets in the world," said Mike Salvino, President and CEO of DXC Technology. "This agreement will enable us to support the delivery of the new digital processing services to London insurance market companies safeguarding their transformation journey."
Dave Matcham, CEO of the IUA, said: "This extension signifies the intent of the Joint Venture to accelerate the current technological capabilities of company market customers. Using technology to adapt quickly to market conditions will give insurance companies confidence that they can modernize their businesses while reducing their exposure to risk".
