Individual Investors Back New Sidecare Syndicates at Lloyd’s

Wealthy individuals (names) are set to back other new sidecar syndicates at Lloyd’s of London. The number of names slid to 907 in 2008¬†from 1,124 in 2007. Attractive tax breaks and the ability to effectively use their capital twice always have made Lloyd’s a magnet for the rich, but the risk of losing their entire fortunes if hit by big claims has deterred many. However, recent changes that allow individuals to invest on a limited liability basis means names will not have to endure the financial nightmare experienced by previous investors. Lloyd’s, with expected increased capacity, may be looking for risk exposure in the U.S. medical stop loss market.

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