Organisations

Question 1

Association of Insurance and Risk Managers in Industry and Commerce (AIRMIC)

Answer 1

Influential in setting standards of risk management

Question 2

Fire Protection Association (FPA)

Answer 2

Researching loss protection and control for fire risks, setting standards for construction etc.

Question 3

Motor Insurance Anti-Fraud and Theft Register (MIAFTR)

Answer 3

Formed through participation of ABI member companies to combat fraudulent claims - records vehicles/motorcycles that suffer total losses

Question 4

Loss Prevention Research Council

Answer 4

Risk-based research help insurers develop crime- and loss-control solutions

Question 5

International Underwriting Association (IUA)

Answer 5

Responsible for representing its member international wholesale insurance and reinsurance companies, the provision of information services and research

It aims to protect and strengthen the business environment for its member companies operating in or through London

Question 6

London Underwriting Centre (LUC)

Answer 6

One of the most public functions is to produce clause wordings for the London Market, notably for marine insurance

Question 7

Association of British Insurers

Answer 7

Largest of the insurance market associations - work includes gathering of relevant market statistics, framing of codes of practice and playing a major role in public relations, creating a greater awareness of the role of insurance

Question 8

British Insurance Brokers Association (BIBA)

Answer 8

Major non-statutory trade association for insurance intermediaries

Question 9

London Market Regional Committee (LMRC)

Answer 9

The intention is to maintain a lobbying role and to represent the sector to the FCA, Europe, the UK government and other stakeholders

Question 10

London and International Insurance Brokers’ Association (LIIBA)

Answer 10

Independent trade body, representing the interests of insurance and reinsurance brokers operating in the London and international markets - there is clear overlap with the LMRC

Question 11

Lloyd’s Market Association (LMA)

Answer 11

Provides representation, information and technical services to underwriting businesses (i.e. managing agents) in the Lloyd’s market

Question 12

Managing General Agents’ Association (MGAA)

Answer 12

Formed to give the insurance industry a better understanding of what an MGA is and what they contribute to the industry

Question 13

Chartered Institute of Loss Adjusters (CILA)

Answer 13

Impartial claims specialists must operate under the code of conduct of the CILA, was set up by a Royal Charter and is a leading authority on insurance claims issues

Question 14

Institute and Faculty of Actuaries (IFoA)

Answer 14

The UK’s only chartered body dedicated to actuaries

Question 15

Institute of Risk Management (IRM)

Answer 15

Set up in response for a demand for a diploma in Risk Management

Question 16

Association of Insurance and Risk Managers in Industry and Commerce (Airmic)

Answer 16

Airmic promotes the interests of corporate insurance buyers and those involved in risk management and insurance for their organisation

Question 17

Insurtech UK (ITUK)

Answer 17

Trade body which aims to position the UK as a leading force in technological innovation in the insurance sector

Question 18

Motor Insurance Bureau (MIB)

Answer 18

Mission is to reduce the level and impact of uninsured driving in the UK, compensate victims and provide first class asset management and specialist class services

The MIB’s obligations are linked to the compulsory insurance requirement of the Road Traffic Act 1988

Question 19

General Insurance Standards Council (GISC)

Answer 19

The voluntary regulatory body that provided a code of practice in order to regulate the insurance industry until 2005

Question 20

Prudential Regulation Authority (PRA)

Answer 20

Responsible for the prudential regulation of all systematically important firms, defined as those that pose a risk to the financial system if they were to fail – applies to institutions that accept deposits or insurance contracts to which it provides supervision and authorisation

Primary objective: to promote the safety and soundness of PRA-regulated persons

Uses a ‘judgment-based approach’

Question 21

Competition and Markets Authority (CMA)

Answer 21

Aim is to promote fair competition for the benefit of consumers both within and outside the UK, and supersedes and brings together the functions of the Competition Commission and the consumer functions of the OFT

Question 22

Financial Policy Committee (FPC)

Answer 22

Committee within the Bank of England responsible for watching for emerging risks to the financial system as a whole and providing strategic direction for the entire regulatory regime

Question 23

Financial Conduct Authority (FCA)

Answer 23

Independent regulator responsible for conduct of business and market issues for all firms including insurers, and prudential regulation of small firms. Focused on taking early action before consumer detriment occurs. Uses thematic reviews and market-wide analysis. Reviews the full product life cycle from design to distribution with the power to ban products where necessary. Overarching strategic objective – to protect and enhance confidence the UK financial system

Question 24

Financial Ombudsman Service (FOS)

Answer 24

Introduced following the enactment of the FSMA 2000; Independent body that has a memorandum of understanding with the FCA for cooperation and communication as they carry out their independent roles; Membership is compulsory for all authorised insurers and other authorised firms e.g. intermediaries; It is not concerned with commercial insurances for larger enterprises; Complainant needs a final response from the firm they have used before they refer the complaint to the FOS, then has a period of 6 months or more from the date of the final decision of the authorised firm; Maximum financial award is £350,000 plus interest, costs and interest on costs

Question 25

Financial Services Compensation Scheme (FSCS)

Answer 25

The UK’s compensation fund of last resort for customers of deposit-taking companies and investment firms, authorised insurance companies and intermediaries; Covers claims against firms where they are unable, or likely to be unable to pay claims against them; Usually when a firm has become insolvent or gone out of business; Was set up mainly to assist private individuals but small businesses (up to £1m turnover) are also covered; Funded by levy on all authorised firms receiving income from eligible claimants

Question 26

XChanging

Answer 26

The organisation that carries out the functions of checking and signing the slipper Lloyd’s once 100% of risk fully placed