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Status: You are viewing the version of the handbook as on 2005-06-30.

LLD 15 Annex 3 Statement by the Lloyd's actuary (see LLD 15.9.1R(2))

LLD 15 Annex 3R

1

The statement required by LLD 15.9.1 R (2) must be prepared and signed by the Lloyd's actuary, and must:

(1)

state whether, for every syndicate year in which members carry on general insurance business either:

(a)

the syndicate actuary has provided an unqualified opinion, which:

(i)

is in a form conforming to guidance from the actuarial bodies; and

(ii)

confirms that the technical provisions set by the managing agent are at least equal to the syndicate actuary's best estimate; or

(b)

the Lloyd's actuary has set the technical provisions (both gross and net of reinsurance recoveries); and

(2)

describe any source of uncertainty in the liabilities covered by the technical provisions, which in his opinion is material to the Society as a whole:

(a)

which any syndicate actuary mentions in his opinion; or

(b)

which affects any syndicate year for which the Lloyd's actuary has set the technical provisions.

2

If the Lloyd's actuary has set the technical provisions for any syndicate year, the statement must include an opinion covering those technical provisions, which:

(1)

confirms that they are at least equal to his best estimate; and

(2)

is in a form conforming to guidance for syndicate actuaries from the actuarial bodies, modified to show:

(a)

that he is retained by the Society and not the managing agent;

(b)

that he, and not the managing agent, set the technical provisions; and

(c)

separately, the technical provisions of each syndicate year covered.

3

If the Lloyd's actuary considers it necessary, such qualification, amplification or explanation as may be appropriate must be added to the statement.