Financial Security

The Society Of Lloyd's

Polaris - Financial Security


The world's specialist insurance market.

Polaris corporate solutions is a coverholder at Lloyd's 100% backed by the premier syndicates at the society of Lloyd's

What is Lloyd's?

Unlike many other insurance brands, Lloyd's is not a company; it's a market where our members join together as syndicates to insure risk.

Much of Lloyd's business works by subscription, where more than one syndicate takes a share of the same risk. Business is conducted face-to-face between brokers and underwriters in the Underwriting Room.

When we talk of Lloyd's, we're really referring to two distinct parts. The market, which is made up of many independent businesses, and the Corporation of Lloyd's, which is there - broadly speaking - to oversee that market. These parts are distinct, but far from independent. Both work closely to maintain high standards of performance across the market.

How the Lloyd's market works:

How the Lloyd's market works

The Chain of Security

Lloyd's unique capital structure, often referred to as the Chain of Security, provides excellent financial security to policyholders and capital efficiency to members.

The Chain of Security

The Corporation is responsible for setting both member and central capital levels to achieve a level of capitalisation that is robust yet also allows members the potential to earn superior returns.

There are three links in the Chain of Security:

  • Syndicate level assets
  • Members' funds at Lloyd's
  • Central assets

The funds in the first and second links are held in trust, primarily for the benefit of policyholders whose contracts are underwritten by the relevant member. Members underwrite for their own account and are not liable for other members' losses. The third link contains mutual assets held by the Corporation which are available, subject to Council approval, to meet any member's insurance liabilities.

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