Who are Lloyd's brokers regulated by?

Lloyd's brokers are regulated by the Financial Conduct Authority (FCA). The FCA is responsible for overseeing financial markets and protecting consumers, ensuring that firms adhere to laws and standards. This regulation encompasses a wide range of activities, including those carried out by brokers operating within the Lloyd's market, as they facilitate the underwriting of insurance and reinsurance in a compliant manner.

While the Council of Lloyd's and the Prudential Regulation Authority (PRA) are also key players in the insurance landscape, their roles differ. The Council of Lloyd's primarily regulates the conduct of its members and overall market operation, while the PRA focuses on the prudential regulation of insurance firms, ensuring their financial stability. However, it is the FCA that specifically oversees the conduct of Lloyd's brokers in relation to consumer protection and market integrity. The Financial Policy Committee, on the other hand, monitors systemic risk and is not directly involved in the regulation of Lloyd's brokers.