London’s insurance capability is needed now more than ever. The COVID-19 pandemic has, like few other events in recent history, brought home the message to people, businesses and governments across the planet that risk always looms in the background. And it has reminded us of the global nature of many of our most challenging risks and how quickly they are changing.
With protection gaps already stretched to the limit, many social and business models changed sharply, and much of our lives went online. An already complex landscape became even less certain. As we look forward to COP26 in Glasgow this year, addressing the key challenge of our time – climate change – will shift the kaleidoscope again over the next decade, with new responsibilities for protecting newly vulnerable societies and livelihoods.
Mitigating these risks will require a global approach and scale of action, and London –as the world’s most international, interconnected and innovative insurance centre – stands ready to take up the challenge. I am confident that the London Market, with its proven ability to adapt and succeed in addressing global threats, is especially well-placed to understand the evolving risks, develop the right products in response, and scale them across the world.
Alderman William Russell, The Rt Hon the Lord Mayor
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At a personal level, I visited the US virtually in February of this year, with Catherine McGuinness, the Policy Chair of the City of London Corporation. We met some of the major figures in US finance, in New York and Chicago – including the biggest investors in the City. As part of this programme, we spoke with the CEOs of the three largest global brokers. I was heartened that all of them regarded the London Market as their key global partner, and spoke of their faith in the continued talent, innovation and expertise to be found here. I came away knowing how important it was for me – and my colleagues in the City of London and across government – to continue to nurture the right environment for the London Market to continue to flourish.
Finally, I want to thank the contributors to this paper for providing an important insight into the role of the London Market at this crucial time, and in particular I want to express my gratitude to Aon for their excellent work in shaping this report. At the City of London Corporation, we are looking forward to engaging closely with all stakeholders involved in making sure London remains the global centre of insurance it has so long been, to address the global challenges ahead.
On behalf of the City of London Corporation, I am very pleased to see the publication of this report, which will help set the agenda around the opportunities for the London Market in 2021 and beyond.