LLM3120 - Reinsurance to Close (RITC) and section 107 FA2000: further help available: the ‘Lloyd's Calculator’

There is a spreadsheet (‘the Lloyd’s calculator’) in the ‘Tools’ section of the HMRC website (www.hmrc.gov.uk) to help identify the proportion of the RITC premium that is treated as a “technical provision”. There is also a guidance note: “Using the Lloyd’s Calculator”.

The calculator requires the user to enter

• the amount of a member’s participation in each year of account
• the amount of the syndicate’s RITC broken down into the underwriting years for which they are paid, and
• the amount of the syndicate’s claims paid in each year broken down into the underwriting years for which they are paid.