16

Lloyd’s

16.1

This Chapter applies to the Society and managing agents.

16.2

For the purposes of complying with 4.1, managing agents must construe the reference to “SCR” in 4.1 as a reference to the notional syndicate SCR required to be calculated pursuant to Solvency Capital Requirement – General Provisions 8.2.

16.3

For the purpose of complying with 1.1(2) the Society must calculate technical provisions in respect of the insurance business of each member.

16.4

For the purpose of complying with 1.1(3), a managing agent must calculate technical provisions in respect of each syndicate it manages

16.5

In respect of business that has been subject to an approved reinsurance to close, managing agents must calculate technical provisions (before and after deduction of reinsurance cessions) for the reinsuring and not for the reinsured member.

16.6

For the purposes of 10.1 in relation to managing agents, a managing agent must carry out the segmentation referred to in that rule in respect of each syndicate managed by the managing agent.