Delegated Data Manager (DDM) – Our journey towards a data first marketplace
In Blueprint two, we set out a two-year programme that will significantly change the market and establish new ways of doing business.
At the heart of this is the use of complete and accurate data to make downstream processing much faster and simpler. For Delegated Authority, our single data capture platform (DDM) is key to automating the processing of accounting, reporting and settlement, which will reduce the manual processing and errors, which in turn should enable faster end-to-end processing.
Since we launched Blueprint two in November 2020, we've undertaken an in-depth consultation on the data standards and usability of DDM. We've received feedback about the opportunities to further develop standards, controls, integration between DDM and other systems, as well as the best way to support the widespread adoption of the solution across the market.
We remain of the view that, in the long-term, we need to implement the Conditions of Trade for use of DDM. However, in light of the feedback received, we will no longer be requiring all market firms to submit delegated authority data on DDM from H2 2021.
Instead, we are adopting a phased and rolling approach to adoption working with brokers, coverholders, delegated claims administrators, and managing agents who have capacity and appetite to adopt and drive early benefits. We will also look to phase by other criteria such as class of business or territory. We are aware that a number of firms have been making good progress towards the full adoption of DDM and we urge them to continue these efforts, which we will support.
Premium and Claims Data
Our immediate focus will be on premium and claims submissions as the relevant data standards (in the Coverholder Reporting Standards V.5.2) are already more consistent.
Our goal is that data should be submitted once and once only. This should be into DDM where the market, the Bureau, and Lloyd's can take the data they need. To achieve this goal, we will work with the market associations to implement a rolling approach starting from Q3 2021 to focus on market partners who are ready to adopt the platform.
Working with those early adopters, we will explore how premium data can be submitted once into DDM, which will remove the need for separate submission to the Bureau and the additional work this brings for those brokers involved. We will work with the market to incrementally increase adoption during 2021 and 2022 to support the full introduction of Conditions of Trade for this requirement by the end of 2022.
DDM will also enable the introduction of continuous contracts.
During H2 2021, we will begin a pilot for the use of continuous contracts, that are fully managed on the Delegated Contract and Oversight Manager (DCOM) and DDM platforms and that meet our compliance criteria. It is likely this will start with some simple contractual arrangements, which can then be expanded in 2022 as the adoption of DDM increases. We will provide further updates on this.
By 2022, we will have confirmed the full set of enhanced risk level standards for submissions into DDM. This means we can deliver more benefits such as removing the need for separate risk-level reporting and bordereaux submissions by managing agents.
Further information on these developments will be provided in a technical roadmap in April that will outline in more detail the future enhancements we will deliver, as well as information on how these enhancements will set the design and delivery of the data standards and integration.
For more information or if you would like to be part of the early adopter group, please contact Lloyd's DA change team by emailing DAchangesupport@lloyds.com.
04 March 2021