London Market Insurance Essentials (LM1) provides an essential grounding in the workings of the London insurance market.
The default Enrolment option for this unit includes:
- Latest version of the core learning content, in digital format only.
- Additional revision aids.
- Assessment entry.
London Market Insurance Essentials begins by introducing the fundamental principles of insurance and risk as well as the reasons for buying and selling insurance. The study text also looks at the function of insurance within the wider economy and its further role to protect citizens.
Legal principles and terminology are also introduced as well as the main classes of business written in the London Market and the theory of the insurance business cycle.
The structure of the London Market is considered in some detail to identify the various players and the flow of business around the market. The regulatory framework is introduced, including an overview of both national and international regulation as it might apply to brokers and insurers operating in the London Market.
Finally, London Market Insurance Essentials provides a firm understanding of the role of the broker and underwriter within the wider context of the market. Some concepts outlined in this unit will be built on in more detail in London Market Insurance Principles and Practices (LM2).
Building a successful career in insurance
This course is for anyone working in or conducting business through the London Market or in a support function such as marketing, HR or finance. Completion of London Market Insurance Essentials (LM1) and London Market Insurance Principles and Practices (LM2) achieves the qualification of Award in London Market insurance. The additional completion of London Market Underwriting Principles (LM3) achieves the Certificate in London Market Insurance.
Summary of learning outcomes
- Understand basic terminology used within the general insurance market
- Understand the fundamental principles of insurance
- Understand the main classes of insurance written in the London Market
- Understand the insurance cycle
- Understand reinsurance within the insurance market
- Understand the structure of the London Market
- Understand the London Market regulatory and legal environment
- Understand the importance of appropriate systems and controls
- Understand data protection and money laundering legislation and requirement
- Understand the broker’s role in the way that business is conducted in the London Market
- Understand the underwriter’s role in the way that business is conducted in the London Market
- 1 hour exam
- 50 multiple choice questions
- 70% nominal pass mark
- The 2020 pass rate for this unit was 87%
Study material - editions available
2021 edition (applicable to exams sat 01 Jan 21 to 31 Dec 2021)