Learn why working with an independent Lloyd’s broker enables agility, innovation and service advantages for insurers accessing the London market.
London’s broker landscape is changing fast. A wave of consolidation has seen many smaller and mid-sized Lloyd’s brokers folded into a handful of global groups. In a market that thrives on speed, relationships and deep expertise, size isn’t everything. As an independent Lloyd’s broker, Costero can move faster, stay closer to you, and tailor solutions without the constraints that can come with public-company or private-equity ownership.
This article explores what’s happening, why it matters to insurers and brokers worldwide, and how working with an independent like Costero gives you a real edge.
The role and value of Lloyd’s brokers
Lloyd’s of London remains the world’s leading marketplace for specialist risk – and Lloyd’s-registered brokers provide its vital interface to the wider insurance industry. The majority of business at Lloyd’s is placed through specialist brokers who match complex client needs with the right underwriting expertise across multiple syndicates—often building subscription placements to deliver the optimal blend of capacity, price and terms. Working with a registered Lloyd’s broker, you gain direct access to a uniquely deep pool of specialist underwriters and products designed for complex or bespoke risks.
Consolidation across Lloyd’s brokers is on the rise
The London market has witnessed a long-term reduction in the number of FCA-regulated brokers since 2006, underscoring how consolidation has reshaped the landscape. (Source: Insurance Times)
Mergers and acquisitions (M&A) among Lloyd’s brokers have increased in recent years and, even with a slower 2025, the continuing trend is clear. Corporate advisers report that UK insurance-distribution deal activity in H1 2025 was 35% lower than the same period in 2024 – still dominated by large, market-shaping transactions. (Source: MarshBerry)
The drawbacks of broker consolidation
Large groups can undoubtedly bring resources and global reach. But these shifts of broker ownership and priorities can alter appetites, decision-making and relationships at short notice—especially for clients that rely on long-running programmes or facilities.
The potential drawbacks of large brokerage groups include:
- Shareholder primacy vs client primacy: Listed firms and PE-backed platforms must prioritise investor returns. That can shape service models, incentives and the tolerance for non-standard placements—precisely where many delegated authority and niche programmes live.
- Less agility, more bureaucracy: Consolidation often means layers of management, standardised processes and siloed teams – factors that can slow decisions or dampen creativity for cross-class or unusual structures. When your programme needs a swift endorsement or a claims exception, friction shows up quickly.
- Potential conflicts and “big-account” constraints: When a few groups handle many of the world’s largest buyers and carriers, genuine separation of interests becomes harder in practice; internal guardrails can limit who will place what, and where.
If you run delegated authority and multi-year programme business, you may recognise these frictions: slower responses, changing appetites, and less personal accountability. Workflows handling settlements and claims can stall when operations are fragmented.
The advantages of choosing an independent Lloyd’s broker
Working with an independent Lloyd’s broker like Costero can bring major benefits in many of these areas.
- A personal approach: When you get in touch with us, you deal directly with our expert brokers – the people actually placing your risk. We keep decisions close to our clients and the market, not buried in management layers.
- Responsive service. Speed matters – to bind capacity, issue endorsements and get claims paid. We obsess over the operational details – providing bordereaux reports on time, chasing payments for clients, ensuring notifications are clean – so problems don’t linger. In too many big-broker environments, these basics get lost between teams; we make them a priority across our business.
- Expertise and experience: We’ve carefully hand-picked our team of specialists across jurisdictions and classes – avoiding a “cookie-cutter” approach. Broad contacts, tailored structuring styles, one collaborative ethos. That diversity lets us design placements that reflect your risk reality.
- Agility and flexibility: Because we’re not part of a listed conglomerate or a private equity (PE) roll-up, we can move quickly and build around opportunities, rather than forcing them into a template. If a requirement crosses classes, or sits slightly outside the usual box, we can shape a bespoke solution around it.
- Proactive teamwork: Our culture is deliberately non-siloed. We work closely together, share leads, and combine skills—think cyber with marine, property with financial lines—to solve problems creatively. That cross-pollination is hard to replicate in segmented mega-broker structures.
- Innovative solutions: Independence gives us permission to experiment—new MGA partnerships, bespoke programme architecture, alternative capital—tapping the full Lloyd’s market (and beyond) to craft solutions that suit you, not our org chart. And we do it without a corporate “man-manager” hierarchy – all our key people are expert brokers.
In short, we mix old-school values of trust, respect and integrity with a forward-thinking approach to managing risk. It’s not just our goal – it’s how we work day to day.
Combine the power of Lloyd’s with the advantages of independence
London is still the best home for complex risk. Despite consolidation among brokers and carriers, choice remains if you know where to look. Competition in the market is evolving, while capacity is reshaping. In this environment, broker independence is an advantage: giving you faster answers, fewer barriers, and intelligent solutions tailored to your portfolio, geographies and growth plans.
Working with Costero means you get a Lloyd’s broker partner who will advocate for your required capacity and move at the pace you need. You’re served by a team that values relationships and delivery over internal politics – with a culture that rewards doing the right thing quickly for our clients. If you’re a broker seeking a nimble London partner, or a carrier looking for a proactive wholesale Lloyd’s broker to grow delegated authority with, discover the advantages we offer.
Talk to Costero about how our independence can work for you—whether that’s building a new binding authority, refreshing your programme, or exploring innovative options for hard-to-place risks. Let’s combine the best of Lloyd’s with the best of independent broking, and deliver results for your clients and your business.
To learn more, please get in touch with us at Costero Brokers.
