Market Reform Contract Endorsement (MRCE) and Endorsements via e-messaging
Sponsor:
John Muir (Willis)
Project
Manager: Stuart Dean (Willis)
Timescale:
Q3/07 - Q4/08
Target:
Adopt MRCE as market standard - Q2. Endorsements via e-messaging to be defined by Steering Group.
Description:
The project aims to effect a change
of behaviour in the London Insurance Market by
transferring negotiation and agreement of endorsements
from face-to-face to e-mail and other electronic
means.
This
will be achieved through the establishment of
practices and procedures related to endorsement
reform and the promotion of the take-up of these.
The
work is split into three main initiatives:
-
The
introduction and implementation of the Market
Reform Contract Endorsement (MRCE) standard
to mandate the form and use of Endorsement
documentation and agreement methodologies.
-
The
introduction and implementation of revised
remote agreement process using e-mail agreement
and other messaging communications on a phased
basis by class of business and product segment.
This will start in Q4 2007 and continue through
2008.
-
To
co-ordinate endorsement activity with other
Market forums with particular emphasis on
input and adherence to ACORD standards for
Endorsements and compliment the work of the
MRG/LMA Electronic Placing Group. This will
be accomplished via the Endorsements Steering
Group as part of its general remit.
Status:
The
MRCE standard has been published and may be used
immediately. There is a transition period (to
31 March, 2008) before it is adopted as the London
Market standard for endorsements. All contract
changes presented to insurers on or after 1 April,
2008 should use the MRCE. For more information click here.
Guidelines have been published covering the remote agreement of endorsements via electronic methods promoting email as an initial step where ACORD messaging is not yet in use. For more information click here.
Documents:
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