LMA Claims Committee – Meeting – Summary 20 November 2025

The LMA Claims Committee met on 20 November 2025 to discuss recent legal developments, market governance initiatives and emerging trends in the use of technology and AI within claims.

Brazilian Insurance Act – Implications for the Market

The Committee received a detailed briefing on Brazil’s newly revised insurance legislation, which introduces significant changes for facultative reinsurance business. The LMA has worked with local counsel to analyse the legal reforms and develop model clauses to support market negotiations. Key areas of discussion included new financial penalties, inflation adjustments, and increased complexity around claims adjustment roles. Members reflected on operational challenges posed by strict acceptance timelines and emphasised the need for clarity around notification processes. Further regulatory guidance is awaited, and a market seminar is scheduled to support understanding.

Establishing a Market Chargeback Framework

A proposal was presented to formalise a chargeback mechanism for market‑wide technology powered claims solutions. Members noted that informal chargeback practices are already established and welcomed the move to introduce clear, criteria‑based governance to ensure transparency and consistency. The framework envisages COLG oversight of eligibility, supported by a central register of approved solutions. Discussions highlighted the importance of clarity around follower roles, avoiding double charging, and accommodating future technological developments. The Committee expressed strong support for issuing LMACC‑backed guidance without the need for consultation.

AI Usage and Future Priorities in Claims

NexGen representatives shared insights from their recent survey on AI adoption in claims. While usage remains uneven, respondents showed generally cautious attitudes towards decision‑making applications, citing concerns around accuracy, training gaps and legal risks. The Committee encouraged continued focus on education, safeguards and clearer understanding of existing AI applications across the market.