CII LM1 case studies
CII LM1 · Put your knowledge to work in context.
LM1, London Market Insurance Essentials, is a qualification offered by the Chartered Insurance Institute (CII). It introduces the London insurance market: its structure, participants, and the practices that distinguish it from other markets. The CII LM1 case studies are 5 cases and about 3,215 words.
1The 100% Slip That Wasn't
A Lloyd's broker is renewing a £48m commercial property and business interruption programme for a UK food manufacturer with 14 production sites. The risk is offered on an open-market, subscription basis to five carriers: Syndicate 1234 as leader at 35%, two further Lloyd's syndicates at 20% each, a London company-market insurer at 15%, and the London branch of a European insurer at 10%.
672 words, about 3 min2The Coverholder Who Knew Better
A Lloyd's managing agent has granted a UK coverholder (an MGA) a binding authority to write SME commercial combined business. The agreement sets a maximum line of £25,000 any one risk, UK risks only, no construction risks above four storeys, an annual premium income cap of £7.5m, no US exposures, and screening of every risk against UK sanctions lists.
652 words, about 3 min3Certainty on Paper Only
A broker places a £12m D&O and commercial crime programme for a FTSE-listed support services group on a Lloyd's lineslip led by Syndicate 5678. The lineslip is written 'as attached', so individual declarations bind on the slip terms and are confirmed by the managing agent.
634 words, about 3 min4The Sprinklers That Weren't Mentioned
A £30m property damage and business interruption policy on a distribution warehouse was placed in the London subscription market: Syndicate 9012 at 30% as leader, two Lloyd's syndicates at 20% each, a third syndicate at 10% and a company-market insurer at 20%. The policy contains a condition that the insured 'shall maintain the sprinkler system in good order' and a claims agreement clause under which the subscribing insurers agree to accept the leader's claim settlements.
669 words, about 3 min5Cheap Security, Expensive Lesson
A UK commercial broker places a £2.4m marine hull and machinery risk for a Greek shipowner. London rates are high, so the broker writes 55% with a Lloyd's syndicate and 45% with a Caribbean-based insurer that is neither FCA/PRA-authorised nor a Lloyd's insurer.
588 words, about 3 min