The LMA Wordings Committee met to review clause development, working party progress and regulatory updates. The committee confirmed no further changes were needed to the Facultative Certificate Order of Priority Endorsement, and that the guidance note would be circulated upon publication. Feedback from the Property (Digital Assets) Bill working party was also discussed.  

The LMA5020 Service of Suit Clause (USA) was reviewed following a call with Lloyd’s America, confirming Lloyd’s would remain the default agent for Lloyd’s underwriters. Clarification was sought on its use versus NMA1998, particularly in coverholder certificates. The Bilateral Cancellation Clause remained under discussion, with the reinsurance version to be discontinued. A new draft LMA5197C clause on Property & Plant Testing & Commissioning was introduced for feedback. 

The committee reviewed LMA5021 (Applicable Law – USA), agreeing to retain it unaltered. Work continues on profit commission clauses for PA binders. Updates were shared on the LMA3022/3023 review, international data protection clauses and the General Sanctions Financial Crime Documentation Clause, which was being finalised for presentation to the Joint Fine Art & Specie Committee. 

The committee noted a recent French Supreme Court decision narrowing the scope of exclusions enforcement, and discussed the Insurance Act’s 10-year impact, with examples requested for a market briefing.