Lloyd s Open Form - A time to innovate.. David Lawrence Controller of Agencies, Lloyd s
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1 Lloyd s Open Form - A time to innovate.. David Lawrence Controller of Agencies, Lloyd s
2 Lloyd s Open Form - A time to innovate AGAIN.. David Lawrence Controller of Agencies, Lloyd s
3 AGENDA Lloyd s Open Form (LOF) Back to basics LOF - Changes and challenges LOF Determining the future
4 LOF Back to basics
5 LOF Back to basics
6 LOF Back to basics Key LOF benefits include: Immediate engagement and mobilisation of salvage tugs and support equipment Salvors BEST endeavours Collection of salvage security by Lloyd s Arbitration process administered by Lloyd s
7 LOF Back to basics Simple, trusted and efficient, Lloyd s Open Form continues to support all parties involved in global maritime adventures BUT Does LOF continue to support all parties? Is LOF trusted? AND
8 Number of Cases LOF - A time to innovate... LOF Back to basics * LOF Cases to * 79* 61* 70* 71* Year * Excluding LOFs for small leisure craft from one specific Salvor (a total of 196 cases)
9 LOF Back to basics Geographical Spread of 48 LOFs
10 LOF Back to basics LOF still alive and with a role to play
11 LOF Changes and challenges
12 LOF Changes and challenges LOF is too expensive! LOF is favours Salvors... Impossible to reserve with any accuracy Parties are too close
13 LOF Changes and challenges LOF is a lottery! Like signing a blank cheque... Cargo interests have no say Playing the system
14 LOF Changes and challenges Trust challenge between ALL parties
15 LOF Changes and challenges Overcapacity in the Salvage industry (?)
16 LOF Changes and challenges A clean LOF and the emergence of side agreements
17 LOF Changes and challenges Knowledge gap of marine claims practitioners (?)
18 LOF Changes and challenges Advancement of Risk Management across the maritime sector
19 LOF Changes and challenges The need to recognise the changing environment when opining on LOF
20 LOF Determining the future
21 LOF Determining the future LOF and innovation Innovation: To make changes in something established, especially by introducing new methods, ideas or products
22 LOF Determining the future LOF and innovation it is not the most intellectual of the species salvage contracts that survives; it is not the strongest that survives; but the species salvage contract that survives is the one that is able to adapt and adjust best to the changing environment in which it finds itself
23 LOF Determining the future LOF and innovation Since inception (in 1908) 11 revisions to the form with the Lloyd s Salvage Group now considering a 13th version Introduction of side agreements Advancement of Risk Management and Specialist Claims teams
24 LOF Determining the future Addressing the TRUST issue
25 LOF Determining the future Addressing the TRUST issue Salvor(s) or Lloyd s Open Form
26 LOF Determining the future Lloyd s Salvage Group (LSG) IUMI and Property Interests, International Salvage Union (ISU), International Group of PandI Clubs, Admiralty Solicitors Group (ASG), International Chamber of Shipping (ICS), Ship Owners, Intertanko, Arbitrators, Brokers, Average Adjusters, Specialty Casualty Representatives (specific to SCOPIC)
27 LOF Determining the future IUMI and Property Interests Philip Norwood Lloyd s Market Association, UK Peter Townsend Amtrust at Lloyd s, UK Paul Cunningham Talbot Underwriting (Lloyd s), UK Leif Erik Abrahamsen Gard, Norway
28 LOF Determining the future Opportunities LOF 2018/2019 An Article 13 tariff based LOF Fixed Cost Arbitration Procedure (FCAP) under LOF Cargo & Hull collaboration
29 LOF Determining the future
30 LOF Determining the future Fundamental question: Is the insurance industry (property interests) prepared to fund the encouragement of future salvage operations? under LOF?
31 LOF Determining the future 1. YES 2. YES but subject to the salvage industry being able to quantify that this level of encouragement is being reinvested 3. NO
32 THANK YOU FOR YOUR ATTENTION David Lawrence Controller of Agencies Lloyd s Agency
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