Posted on Insurance Law Blog / Blog / How Do I File Lloyd’s Of London Car Accident Claim?

Page Updated 01/30/2022

How Do I File Lloyd’s Of London Car Accident Claim?


Lloyd’s of London, typically known as Lloyd’s, is an insurance market rather than an insurance company. Governed by the Lloyd’s Act of 1871, the members of Lloyd’s work collaboratively to help spread the risks of businesses, organizations, and individuals. Members who operate as syndicates specialize in different types of risks to determine which risk to insure. The firm is an intermediary between insurance companies, underwriters, brokers, and clients.

I am a top Los Angeles car crash lawyer, Michael Ehline. I am a United States insurance law expert at getting clients adequate compensation for at-fault car, truck, and motorcycle accidents. I am here today to discuss getting paid when Lloyd’s of London is the claims department.

Lloyd’s of London – History, and Timeline

In 1688, the first-ever mention of Lloyd’s came in the London Gazette when Edward Lloyd’s Coffee House posted a reward for helping find five stolen watches. The description of the man who stole those watches soon followed in the news article to encourage individuals to provide any information available. Although a reward was available for the individual who provided information on the thief, this was one of the earliest insurance signs. However, it was not an insurance company at that point.

In the city of London, coffee houses were a place for entrepreneurs, investors, and merchants to interact and make transactions. By the 1730s, Edward Lloyd’s Coffee House specialized in providing shipping information, and by the 1740s, Lloyd’s had begun to gain dominance in the region.

A New Century

The century following the 1730s was critical for Lloyds. Plagued by the American Revolution and Napoleonic wars, London became the center for marine underwriting, and Lloyd’s started to dominate the shipping industry. Those able to provide marine insurance made huge profits, but there were also losses.

During this period, Lloyd’s changed the course of marine insurance completely when it was part of the most crucial trial in insurance law history. Lloyd’s had insured a vessel that went on a journey, leading to devastating consequences since the ship was weak and had a leak. The lengthy discussion ended when the court decided that Lloyd’s policy did not stand since the parties involved were not aware of the defects at the time of the contract signing.

The Marine Wars are Over…

In the late 1760s, the marine wars had almost ended, which meant that shipping premiums were at an all-time low. The company made a lot of money during the marine-wars period, but now that the wars were over, underwriters started to seek other risks to insure. Lloyd’s soon became notorious for transitioning into an illegal gambling den.

However, this also changed when a group of professionals disassociated themselves from the bad reputation the company was garnering and decided to create a new Lloyd’s, soon becoming pioneers of the insurance world and a fairly reputable insurance company around the world.

Lloyd’s Claims in Numbers

With over 300 years in the industry, Lloyd’s has become a leading name within the insurance marketplace with influence in more than 220 countries worldwide. Between 2012 and 2017, Lloyd’s made £74 billion in claims payments and processed over £46 million of claims daily in 2017, a record standing strong to date.

Lloyd’s Insurance Marketplace Products

Lloyd’s covers more than 60 lines of insurance, from accident and health to home insurance, medical malpractice, terrorism, property space, livestock, and more. The company also specializes in creating tailor-made policies for clients, helping expand product offerings. Insurers contact Lloyd’s and its insurance expert team to explore services, find insurance solutions for clients, and create policies.

Lloyd’s of London Insurance Company Claim Process

When it comes to advising underwriters of loss, the process can be long and extremely complicated to get your head around. Here is a concise and simplified summary of what happens when you want to get claims payments.

Multiple Checks

When a party files a claim with Lloyd’s, the London broker will follow their due diligence by carrying out multiple checks. Once the checks are clear, the claims department will assign the claim a unique claim reference number through which one can track the claim. After assigning a unique claims reference number, an electronic claims file gets created and sent to the underwriters.

Yes, you can still file a paper claim

There is also an option for a paper claims file, but the underwriter would need to hand in the claim form and documents physically in person.

Assign a Claims Adjuster

When the claim department sends the electronic claim file to the underwriter, the latter reviews the documents and the case while making necessary comments on the file, this could include questions, general comments, and formats.

The underwriter then sends the updated claim file back to Lloyd’s, assigning a claims adjuster and sending the file to them for their prompt action.

The claim adjuster works with the relevant party to answer the questions raised by the underwriters. Both parties go back and forth until all the information is available to resolve the claim.

Claims Payments

If the relevant party has gotten hurt in a car accident and is eligible for compensation, the adjuster will negotiate a settlement amount to close the case. When the victim accepts the settlement offer, the adjuster gets back to Lloyd’s with a signed letter from the victim agreeing to the monetary compensation.

Lloyd’s generates an electronic payment collection request to the relevant underwriter to pay claims payments as per the agreement.

Deposit into London Broker’s Account

After analyzing the relevant agreement, parties can approve or reject the claims payments. Once all parties come to a mutual understanding and approve the payment, the system processes the payment through Lloyd’s central accounting system and deposits it into the broker’s account, from where it gets sent to the insured.

Insurance Companies Work in Their Best Interest

You may want to believe that the insurance companies are here to work in your best interest and compensate you claims payments immediately after getting into an accident. Unfortunately, that is not the case as insurance companies are accountable for their investments, and paying claims affects their profits. Cases of bad faith practices have occurred with even the best insurance companies, including this London broker, and this can be stressful when you have medical bills piling up.

Ehline Law is Here for You

If you got into a car accident or are looking to get more information on getting claims payments, contact Ehline Law and our personal injury attorneys at (213) 596 9642 for a free consultation with our legal experts. We help assess individual injury cases, determine fault, calculate claim value, and pursue insurance companies to settle claims as soon as possible.

Contact us for more information on getting the claims payments you deserve from bad faith insurers and others on the risk of paying your full and fair car accident damages.

Ehline Law Firm - Personal Injury Attorneys, APLC
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Michael P. Ehline Esq.
Downtown Los Angeles Corporate Offices

Downtown Los Angeles Office
633 West 5th Street #2890
Los Angeles, CA 90071
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Los Angeles, CA 90071
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