Editing Lloyd's of London (section)

===Early 1980s: New Lloyd's Act, Lioncover and Centrewrite===

;Fisher report
In 1980, [[Henry Arthur Pears Fisher|Sir Henry Fisher]] was commissioned by the Council of Lloyd's to produce the foundation for a new Lloyd's Act. The recommendations of his report addressed the "democratic deficit" and the lack of regulatory muscle.

Fisher, working with Richard Southwell QC, drafted the '''{{visible anchor|Lloyd's Act 1982}}''' (c. xiv) which further redefined the structure of the business and was designed to give external Names, introduced in response to the Cromer report, a say in the running of the business through a new governing Council.<ref>{{cite web|url=http://www.lloyds.com/The-Market/Operating-at-Lloyds/Regulation/Acts-and-Byelaws/~/media/Files/The%20Market/Operating%20at%20Lloyds/Regulation/Acts%20and%20byelaws/Acts/Dec08LloydsAct%201982_2008.pdf|title=Lloyd's Act 1982|access-date=26 February 2011|archive-date=28 September 2011|archive-url=https://web.archive.org/web/20110928121032/http://www.lloyds.com/The-Market/Operating-at-Lloyds/Regulation/Acts-and-Byelaws/~/media/Files/The%20Market/Operating%20at%20Lloyds/Regulation/Acts%20and%20byelaws/Acts/Dec08LloydsAct%201982_2008.pdf|url-status=dead}}</ref> The main purpose of the 1982 Act was to separate the ownership of the managing agents of the underwriting syndicates from the ownership of the brokering houses (which acted as intermediaries, not as underwriters), with the objective of removing conflicts of interest.

;PCW scam and Lioncover
Immediately after the passing of the 1982 act, evidence came to light and internal disciplinary proceedings were commenced against a number of underwriters who had allegedly siphoned money from their syndicates to their own accounts. These individuals included a deputy chairman of Lloyd's and some of its leading underwriters. Successful marine underwriter [[Ian Posgate]], who at one point had written 20 per cent of the Lloyd's marine market, was expelled under suspicions but later acquitted of criminal charges. His name remained tarnished and he did not return to the market, retiring to run his Oxfordshire farm until his death in 2017 aged 87. A greater debacle arose when Peter Cameron-Webb and Peter Dixon, of PCW Underwriting Agencies, allegedly defrauded their business of some $60m through rigged reinsurance transactions and fled to the United States, never to return.

The emergence of fraud at PCW was the first in a series of events that led to the resignation of Lloyd's chairman Sir Peter Green in 1983. Lloyd's was later forced to make a settlement with the roughly 3,000 Names on the various PCW syndicates involved and to reinsure their liabilities into a new syndicate, number 9001, in turn reinsured by a unique vehicle named Lioncover, which was set up as a Lloyd's subsidiary insurance company. Lioncover assumed the liabilities of PCW as well as the associated WMD and Richard Beckett underwriting agencies in 1987. In 1988 it also assumed the 1967–1969 liabilities of syndicates 2 and 49. Dixon and Cameron-Webb remained at large in the US; Cameron-Webb reportedly died in 2004 in a nursing home in California<ref>{{Cite web|url=https://www.i-law.com/ilaw/doc/view.htm?id=117791|title=Peter Cameron-Webb dies in California|website=i-law.com|date=February 2023 |last1=Faulkner |first1=Michael }}</ref> and Dixon became a real estate agent in Florida; he died in 2017.{{Citation needed|date=February 2024}}

Lioncover's PCW liabilities were reinsured as part of the [[Equitas]] arrangement in the late 1990s and transferred to [[National Indemnity Company]] in two stages in 2007 and 2009. Residual funds in Lioncover were later distributed to surviving PCW Names or donated to the Lloyd's Charities Trust. Lioncover was voluntarily dissolved in 2014.

;Warrilow syndicate and Centrewrite
Lloyd's also faced action from Names on C. J. Warrilow's syndicate 553, which had chronically exceeded its underwriting capacity in the early 1980s and failed to adequately reinsure the huge quantity of risks it was taking on. The solution was to create a new company in 1990 into which these liabilities could be reinsured in order to relieve the Warrilow Names. This entity was named Centrewrite Ltd and in 1993 it assumed Warrilow's 1985 and prior years' liabilities, separately also offering "estate protection plans" (EPPs) for resigned Names. Tens of thousands of Lloyd's Names bought these reinsurance policies.

Centrewrite still exists today but has not written any EPPs since 2011 and conducts little other business; its most recent transaction was in 2013 when it assumed the 2001 liabilities of the life syndicate 1171. It also reinsured the 1997–1999 years of Crowe syndicate 1204 and the 1999–2001 years of Cotesworth syndicate 535. In 2012 the Crowe and Cotesworth liabilities (then valued at just over £17m) were [[Novation|novated]] to Riverstone (a [[Fairfax Financial|Fairfax]] company) meaning minimal liabilities remain in Centrewrite today.

In 1986, the year Lloyd's moved into a new building at 1 Lime Street (where it remains today), the British government commissioned [[Patrick Neill, Baron Neill of Bladen|Sir Patrick Neill]] to report on the standard of investor protection available at Lloyd's. His report was produced in 1987 and made a large number of recommendations, but was never implemented in full.