Thirteen Lloyd's syndicates reached a partial settlement of almost $22 million in a class-action suit that accused the syndicates of conspiring to increase profits and revenues while obscuring a lack of competition in the Lloyd's market, The Insurance Insider reported.
The lawsuit was filed by yacht operator Lincoln Adventures and fast-food restaurant company Michigan Multi-King in New Jersey's District Court. The plaintiffs alleged that the syndicates charged higher premiums by using subscription agreements and that the syndicates worked like divisions of one corporation rather than as competitors.
The filing showed that syndicates including Hiscox Syndicate 33, Beazley Syndicates 623, Beazley Syndicates 2623, Talbot Syndicate 1183, Amlin Syndicate 2001 and Brit Syndicate 2987 agreed to pay $22 million to the plaintiffs to settle the lawsuit.
Ten other syndicates, including Catlin Syndicates 1003, Catlin Syndicates 2003, Chaucer Syndicates1084 and Chaucer Syndicates 1096, did not reach a settlement.
Marsh & McLennan Cos. Inc., Willis Towers Watson and Aon entities, Professional Liability Insurance Services, and Swett & Crawford were named as co-conspirators in the lawsuit.