The foundation of the insurance and the future of it

Colin Lunsky

In the 17th century, London's importance as a trade centre led to an increasing demand for ship and cargo insurance. Edward Lloyd's coffee shop became recognised as the place for obtaining marine insurance and this is where the Lloyd’s that we know today began.

From those beginnings in a coffee shop in 1688, Lloyd’s has been a pioneer in insurance and has grown over 330 years to become the world’s leading market for specialist insurance.

With expertise earned over centuries, Lloyd’s is the foundation of the insurance industry and the future of it.

Lloyd’s… a phenomenal experience

From the design of the building, with the pipes and elevators on the outside and the tradition and heritage of what they do, to the experience of the underwriting box from both the broker and underwriter perspective on the trading floor within Lloyd’s, with the different classes of insurance, risk, operations, claims at Lloyd’s, Lloyd’s gives one a sense of the history and timeline of insurance.

With the prize being a trip to Lloyd’s of London, Colin Lunsky, winner of The Insurance Apprentice 2019, and Broker Consultant at HTI Insurance Brokers, shared his experience of his trip to Lloyd’s of London.

“The Lloyd’s experience was phenomenal. It was everything I had expected, and more. The course I attended is called the Autumn Worldwide Programme and it lived up to its title. The course was attended by people from 17 different countries spanning six continents, which truly makes it a global course. Through the duration of course and the varying discussions you start to appreciate the different challenges faced in the insurance industry, some are similar to us and others are vastly different. It challenges you to think about the risks we currently do not perceive but could very shortly be exposed to in our insurance space,” said Lunsky. 

“The one thing that remains the same in insurance worldwide, are the people who practice our art - always up for learning, adapting, arguing and pushing the boundaries of what we know and understand… not to mention the beer/glass of wine after a long day. I personally love the history of Lloyd’s and this was a highlight for me,” added Lunsky. 

A fair share of high points 

“The best part of the trip was meeting all the different people from different backgrounds and nationalities, and the amazing team that put the course together. The course was exceptionally well organised, and tailor made for the group they were presenting to. It was an amazing experience sitting in a box and watching the underwriters negotiate with the brokers whilst excepting a line. It is very difficult to single out one thing, as I believe the whole experience is great (even the rain made it feel very authentic),” Lunsky emphasized. 

“Lloyd’s have relaxed their dress attire rules; it is not compulsory to wear a tie anymore, however, I believe some of the more traditional underwriters may add 10% to the rate if you, as a broker, approach them to place a risk without a tie,” commented Lunsky. 

“On the funnier side of things, I thought it was quite funny how the English, Australians and myself would discuss Rugby and the rest of the group really had no clue what we were talking about,” said Colin jokingly. 

Some perspective

“Visiting Lloyd’s has changed my perception of insurance. It has made me think a lot about how relevant our current products are. We all know our world is changing fast, and we as brokers and insurers need to change with it (or be left behind and be irrelevant). We need to identify new risks, identify how people’s perceptions of insurance have changed and the role insurance plays in society today. It is a very exciting time to be in our industry,” added Colin. 

On a personal note, “I think that all insurance professionals should do the pilgrimage to Lloyd’s at least once in their lifetime. What an awesome experience to be part of an industry that we have all grown to love, and then to visit the place where it all started,” concluded Colin. 

Writer’s Thoughts:
As Colin mentioned, our world is changing fast, and we need to change with it. Places like Lloyd’s, where it all started, help us to identify new risks, how people’s perceptions of insurance have changed, and the role insurance plays in society today. Do you agree? If you have any questions please comment below, interact with us on Twitter at @fanews_online or email me - myra@fanews.co.za