Lloyd's Insurance Company S.A. (Brussels)
A Belgian-law insurance company set up by Lloyd's to keep writing European Economic Area risks after Brexit, which reinsures those risks in full with the syndicates.
Lloyd's Insurance Company S.A., often called Lloyd's Brussels or Lloyd's Europe, is an insurance company authorized in Belgium that began writing business on January 1, 2019. Its reason for being is Brexit: the United Kingdom's exit from the European Union cost Lloyd's syndicates the passport that let them cover risks located in the European Economic Area directly. The Brussels company therefore issues policies for those risks, then reinsures them in full with the syndicates that underwrote them, so that the underwriting decision and the capital remain in London while the legal carrier of the contract is European. The arrangement has a practical consequence for insureds and brokers: the contract's legal security falls under European prudential law and the Belgian supervisor, and claims settlement runs through a continental entity. It also involved a portfolio transfer of earlier European policies, so that insureds would not remain tied to syndicates no longer entitled to serve them.
On December 30, 2020, two days before the end of the Brexit transition period, a portfolio transfer approved by the High Court in London moved to the Brussels company the European policies written by the syndicates between 1993 and 2020, several million contracts with the corresponding reserves.
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