Premium Accounting & Settlement, Broker phase one, Insurer phase two

LPANs can continue to be submitted to trigger the accounting and settlement process via two routes:

• IMR

• DRI

The Market Gateway (ASG Adept) will remain unchanged from phase one. All EDI and EBOT messaging will go through the Market Gateway (ASG Adept).

Brokers will be able to submit RESETT messages via the Market Gateway (ASG Adept) to IPOS to release delinked payments. This will remain unchanged from phase one.

Portal access to IPOS will remain unchanged from phase one. At accounting submission, the IPOS portal can be used by the broker to release delinked payments but not to submit an LPAN, which will continue to remain available via the IMR.

IPOS, which has gone live in phase one, is the premium processing platform replacing LIDS.

In this scenario, where the broker is in phase one, the transaction will be triggered by an LPAN and will then be processed manually by Velonetic (previously London Market Joint Ventures). IPOS will have a higher level of automation in Velonetic’s processes of accounting & settlement, but these benefits will not be realised if the broker is using an LPAN to trigger the transaction.

In the case of a new transaction on an original premium which is held in legacy platforms (e.g., LIDS), such as in the case of endorsements, Reach Back will find the old premium data and bring it to IPOS, for a central view of the premium and premium history.

Both insurers and brokers (regardless of what phase they are in) will be able to manage queries via the IPOS portal, this will not change from phase one.

Both insurers and brokers will be able to view details of the signing on the IPOS portal, a functionality similar to Account Enquiry. Please note, this is not a reconciliation tool and will not contain the full data required to do reconciliation of transactions. This will not change from phase one.

The Market Gateway (ASG Adept) will remain unchanged from phase one. All EDI and EBOT messaging will go through the Market Gateway (ASG Adept).

Brokers who are still in phase one will receive Standardised EDI messages as they do in phase one.

In this scenario, the broker is in phase one and has submitted an LPAN. LPAN submissions cannot generate EBOT TAs or FAs. Transactional information will be available to digital insurers via supplementary APIs only.

Supplementary APIs will also provide information which is not available in the EBOT messages, such as non-fundamental splits, original signing number and date, actual payment date. API specs are expected to be published in end Q1 - end Q2 2024.

Each organisation will have their own notification preferences, which will be unaffected by other organisations on the policy or claim. Therefore, an insurer who has selected EBOT and API as their notification preferences will only receive EBOT and API, even if other insurers on a policy use other formats.

Net settlement will still occur through Central Settlement. Central Settlement is not changing and will still work via STFO for Lloyd’s and via RBS for the company market.

It is expected that there will be no changes to Central Settlement bank accounts. Central Settlement is expected to work as it does today but with feeds from the new digital services rather than the existing ones.

Direct Settlement will remain unchanged from phase one.