On Thursday 23 June 2016 the British public voted to withdraw from membership of the European Union (EU).

There has been much speculation surrounding the effect this landmark decision will have on the insurance industry, and the UK financial services sector as a whole.

Miller’s executive management convened immediately following the decision to discuss the outcome of the vote and the effect it might have on our organisation, our clients & contacts and our people.

In short, we see no reason to take the outcome as cause for a reduction in optimism and we can confidently say that our trading position, profitability and growth targets will be unaffected by the decision.

We have always had, and will continue to have, strong ties with the insurance market in the rest of Europe. We look forward to continuing to build on our relationships with European headquartered insurers and service the needs of European insureds looking to access London. The territory will always be a key market for Miller.

We also believe that the outcome of the referendum creates an even more compelling case for maintaining a physical presence in mainland Europe to ensure these ties remain strong. We have absolute faith in our teams in Paris and Brussels and their contribution will be crucial as these developments continue to unfold.

It should also be noted that the majority of our business is transacted with non-EU territories and therefore does not rely on the trade freedoms that being a member of the single-market provides.

With all of the above taken into account; we can say with complete confidence that we are well equipped to meet any challenges that the outcome of the vote presents.

What happens next?

The fact remains; until Article 50 of the Lisbon Treaty has been invoked, and the withdrawal process has been completed; Britain remains a member of the EU, operating within its legal and regulatory framework.

We will be watching the UK’s trade negotiations with the EU and other global territories with great interest to ensure that we are in the best place possible to react to them.

It is inevitable that we, like all other London market organisations, will have to make adjustments to our working practices as the withdrawal process and concurrent trade negotiations take place. However, we are confident that our people have the skills to help us achieve this with the minimum of disruption.

As the UK moves into the next chapter of its history, what is of paramount importance is that our focus on the interests of our clients, markets and people will not waver.

We are not alone in remaining optimistic, below are positive messages from just some of the senior insurance market figures who have expressed their belief that the London insurance market will continue to flourish to the same degree working alongside the EU as it does within it:

“While our relationship with Europe and the single market has clearly changed, Lloyd’s and the London insurance market will adapt to the new environment we will be operating in once the UK has officially left the EU.

“Many people have asked…whether London can expect to maintain its position as the global heart of specialist insurance and reinsurance. I strongly believe it can.”

Inga Beale

CEO of Lloyd's of London
Source: Financial Times - 28 June 2016

"Clearly the UK's decision to exit the EU presents challenges for London market companies and uncertainty surrounding the potentially prolonged nature of this process will be problematic for future planning. Our industry is, however, experienced in responding to change.”

Dave Matcham

CEO of the International Underwriting Association of London (IUA)
Source: Insurance Insider - 24 June 2016

“As the future of the UK's trading relations unfolds, we are confident that the market will respond to this complex, challenging and unprecedented situation with the flexibility, agility and pragmatism which is an inherent part of its DNA.”

Nicolas Aubert

Chairman of the London Market Group (LMG)
Source: Insurance Insider - 24 June 2016