A new report from the Lloyd’s Market Association and Aon makes a strong case for investing in Lloyd’s but highlights opportunities to make the process easier and ways in which terminology could be simplified to improve the predictability of set-up and running costs.

Paul Davenport (pictured), finance and risk director at the Lloyd’s Market Association, said: “Our conversations with capital providers highlighted their positive experience of working with members of the Lloyd’s executive team, who are willing to take a commercial and pragmatic approach to facilitate what investors want to achieve. While this is encouraging, there remains work to be done to enhance underlying processes for getting things done in the market.

“Many capital providers also noted their positive experience of working with the members’ agents, especially for administrative support in terms of their initial investment. Again, these positive observations were often tempered with calls for improvement in processes.”

Joanna Parsons, strategic growth leader, capital advisory UK for Aon, added: “This research tells us clearly that there is appetite from new capital to enter the Lloyd’s market.

“The current favourable market conditions are a clear short-term driver for capital interest and deployment. Hence a key focus of all the market players should be about ensuring the longer-term commitment and participation of a diverse variety of capital providers, even when underwriting conditions are not quite as attractive as they are today.”