First homegrown reinsurance broker gains approval from Lloyd’s

Ahmad Farouk receiving approval to deal directly with the Lloyd’s syndicates in London.

LABUAN IBFC has become Malaysia’s first Lloyd’s registered reinsurance broker, AFR Asia Pacific Limited, which received approval last month to deal directly with the Lloyd’s syndicates in London.

AFR is a Labuan licensed reinsurance broker with a track record of more than 16 years.

This listing is a milestone for AFR as it allows the reinsurance broker access to Lloyd’s, the world’s largest specialist insurance and reinsurance market that offers a unique concentration of underwriting expertise, backed by strong financial ratings and international licences covering more than 200 countries.

Lloyd’s is often the first to insure emerging, unusual and complex risks.

AFR has been in the business of reinsurance broking since 1999 and sees its entry to Lloyd’s as validation of its commitment towards raising service standards in the industry.

AFR currently offers facultative and treaty reinsurance as well as retakaful for both life and general businesses, serving the Malaysian and regional insurance industries. In general insurance, it specialises in aviation, liability, specie and marine risks.

“I am pleased to welcome AFR Asia Pacific as our first Lloyd’s Registered Broker in Malaysia. We have had a long-standing relationship with AFR and this is validation that they meet the standards required of a Lloyd’s registered broker. AFR customers will benefit from Lloyd’s specialist underwriting expertise for their local and global risks.

“I look forward to welcoming more Malaysian brokers who are seeking to increase their international competitive capabilities via the Lloyd’s platform,” said Lloyd’s Asia-Pacific head Kent Chaplin.

AFR chief executive officer Datuk Ahmad Farouk said this would spur AFR to greater heights in its provision of insurance services and service delivery.

“Having the Lloyd’s status will enable AFR to develop its risk offering to the rapidly growing Asean Economic Community,” he added.

Labuan IBFC is one of the fastest-growing risk management centres in Asia Pacific and licences close to 250 risk management-related entities, managing a collective premium in access of US$1bil on a yearly basis.

“AFR’s approval to become a Lloyd’s registered broker is an excellent example of the level of success a born-and-bred Malaysian company can achieve.

“We are exceptionally proud that Labuan IBFC has been a key enabler in AFR’s success to-date and is an ideal platform from which AFR can leverage their Lloyd’s registered broker status,” said Labuan IBFC chief executive officer Danial Mah Abdullah.