Who we are
Business Approach
01Our Service Approach
Standards of Customer Service
This page sets out the standards of service that customers can expect to receive from Chaucer. It has been approved by the boards of Chaucer Syndicates Limited (“CSL”) and Chaucer Insurance Company DAC (“CIC”), and will be made available to customers, staff, brokers, coverholders and other intermediaries, and third party claims adjusters. All relevant service providers must be familiar with these standards of service and apply them in all interactions with customers.
Chaucer’s customers are the insureds and cedants whose businesses and assets we seek to protect, and the brokers who bring insurance and reinsurance business to us. Chaucer is committed to providing the highest levels of service to all customers, from initial placement of a risk through issuance and management of a policy, to adjustment and settlement of claims. We will at all times treat our customers with fairness, openness and respect, and put their interests at the heart of what we do.
Product Design
It is important that products are designed from the viewpoint of the customer. We will ensure that all products that we bring to the market are suitable for our customers’ needs, and will robustly challenge new products from a customer perspective, so that they are fit for purpose and provide appropriate value for money.
Placement
Customers must be able to place business with us easily and efficiently. We will provide a fast and responsive service to brokers seeking cover for risks on behalf of commercial clients, and our underwriters will be readily available to conduct discussions and negotiations. We will be creative and imaginative in attempting to provide solutions to customers’ needs.
Where we offer insurance products to retail customers, we will supply them with clear, relevant and timely information (including scope of cover, cost and key conditions), so that they can make a fully informed decision on the suitability of the product to their needs.
Contract Documentation
Customers must be provided with a clear and timely written statement of the terms of their cover. We will promptly issue comprehensive and clear documentation recording the terms of the insurance or reinsurance contract agreed between us and a customer.
When preparing policy wordings (particularly for retail customers), we will ensure that they are readily comprehensible, and will avoid the use of technical or confusing language.
Policy Management
It is important that customers are able to interact easily with us during the life of a policy. We will quickly and efficiently deal with requests for changes to cover or other policy amendments, and with payment of premiums.
Acquisition Costs
Excessive fees, commissions and other costs paid to intermediaries in the distribution chain can significantly inflate the costs (and erode the value) of Chaucer’s products to our customers. We will monitor and review acquisition costs to ensure that customers are receiving appropriate value for money.
Claims Handling
Speedy, efficient and fair processing of claims is a vital element of overall customer service. We will provide a high quality claims service, whether through our in-house claims team or third party adjusters. We will respond to claims as quickly as possible, and will clearly set out the reasons for our decisions. If the customer disagrees, we will give them the opportunity to explain why, and will be creative and open in attempting to resolve any dispute.
When determining claims we will act fairly and take into account the overall intent of the policy. We will not seek to use legal loopholes to unfairly avoid paying otherwise valid claims.
Once a claim has been accepted as valid, we will pay it as quickly as possible.
Feedback and Complaints
In addition to enabling us to rectify individual customer grievances, complaints provide an opportunity to identify elements of our processes that are creating poor customer outcomes. We will encourage feedback from our customers to enable us to constantly improve our service.
We will ensure that all customers are aware of how to raise a complaint about any aspect of our service. We will handle all complaints fairly and promptly, and will fully abide by the terms of any third party adjudication.
We will analyse feedback and root causes of complaints to identify any failings in our service to customers.
Confidentiality
We will protect the confidentiality of our customers’ information and will comply with all applicable data protection and privacy legislation.
Review
These service standards will be regularly reviewed by the CSL and CIC boards (at least annually), to ensure that they remain appropriate and up to date.
To view this document as a PDF please click here.
02Our Brexit Approach
Following Britain's exit from the EU, our European clients can access the benefits of Chaucer's expertise, products and security through, our insurance company in Dublin, or Lloyd’s Europe.
Chaucer Insurance Company
We write business through our Irish domiciled insurance company, Chaucer Insurance Company DAC, whose international specialty product range mirrors that of Chaucer Syndicate 1084 in London, enabling us to provide either syndicate or company paper, depending on client preferences. Chaucer Insurance Company has a UK branch to provide access to specialty underwriting expertise in London. Chaucer Insurance Company benefits from the full support of China Re, our new parent company, and has an A financial strength rating from Standard & Poor’s and A from AM Best.
Lloyd’s Europe
From 1 January 2019, Chaucer Syndicate 1084 began underwriting business through Lloyd's Insurance Company S.A., based in Brussels. Lloyd’s Europe has licenses in all 30 European Economic Area states, and has the same strong financial ratings as Lloyd's; A from A.M. Best, A+ from Standard & Poor's and AA- from Fitch. Risks are reinsured into Chaucer Syndicate 1084, meaning that clients continue to benefit from the Lloyd's chain of security.
As a consequence of Britain leaving the European Union, on 30 December 2020, certain EEA insurance policies were transferred from Lloyd’s syndicates, including 1084 and 1176, to Lloyd’s Insurance Company S.A. under a UK Court sanctioned transfer scheme. The transfer does not change terms and conditions of any policy, except that Lloyd’s Europe has become the insurer and Data Controller in respect of the transferred policies.
If you have any questions, including questions relating to particular classes of business, please ask your usual underwriting contact or email enquiries@chaucergroup.com
03Our Tax Strategy
The Chaucer Group (Chaucer) is a leading specialty insurance group, which mainly writes insurance and reinsurance business through the Lloyd’s market. Chaucer is ultimately owned by China Reinsurance (Group) Corporation (China Re). China Re also directly owns two UK companies, China Re UK Limited (CRUK) and China Re Underwriting Agency Limited (CRUA). References to Chaucer below also cover CRUK and CRUA.
China Re is a leading reinsurer in China and one of the top 10 reinsurance companies in the world. China Re is the only state-owned reinsurance group in China and it maintains excellent security ratings from A.M. Best and Standard & Poor’s. China Re is listed on the Hong Kong stock exchange.
Chaucer aims to achieve full compliance with its tax obligations. This includes the maintenance of good working relationships with HMRC and other tax authorities, and the safeguarding of our reputation as a responsible taxpayer.
Tax is not just a question of compliance, but also an indicator of how a business views its role in society. Chaucer believes that strong Environmental, Social and Governance (ESG) principles should be at the centre of its decision-making and has embedded this strategy into the core of its business and decision-making processes.
Risk management and governance for UK taxation
Chaucer operates in a highly regulated industry. Risk management is an essential and embedded part of the activities undertaken to achieve the group’s strategic objectives. Chaucer has developed a comprehensive risk management framework, with each legal entity Board of Directors being ultimately responsible for risk management, including tax risk management.
Oversight of the risk management system and systems of internal control is delegated to the appropriate legal entity Risk and Capital Committee (Board Committee) and Operations Committee (Board sub-Committee). Tax risks, along with all other risks facing the business, are subject to Chaucer’s three lines of defence model, which provides multiple levels of oversight:
- Tax department and Group Chief Financial Officer (CFO) (operational level risk acceptance and day-to-day risk management)
- Risk function (establishment of an appropriate risk management framework and challenge of internal risks and controls monitoring)
- Internal Audit function (testing of the effectiveness of risk management and internal control activities undertaken by 1. and 2. above, and provision of assurance on the overall system of internal controls)
Chaucer’s main tax risks relate to compliance and reporting, transactional risk and reputational risk with the tax authorities and other relevant stakeholders in the different countries where Chaucer operates. In order to manage these tax risks, Chaucer has appropriate internal controls and procedures in place. For example, tax calculations and payments are subject to separate internal review and Chaucer retains evidence of the review process. The group-wide internal controls ultimately provide management with the visibility of the review, risk assessment and sign-off of all material tax transactions. The internal review system supports the Senior Accounting Officer sign-off on appropriate tax accounting arrangements. Chaucer employs external advisers for specialist or complex matters.
Chaucer’s Head of Tax has regular meetings with the Group CFO and the Finance Leadership Team. Chaucer’s Head of Tax also raises tax issues with the Investment and Finance Committee (Board sub-Committee). The Group CFO escalates key tax issues to the appropriate legal entity Board.
Acceptable tax risk and tax planning for UK taxation
Chaucer has a low risk appetite towards tax risk, in accordance with the direction from each legal entity Board and senior management. Chaucer undertakes efficient tax planning, for example to avoid double taxation in different jurisdictions and to maintain a tax efficient legal entity structure.
Chaucer does not engage in aggressive tax planning or tax planning that lacks commercial purpose. Chaucer’s senior management team considers the tax consequence of significant transactions, with oversight from the appropriate legal entity Board. If particular tax planning or business transaction is complex, requires specialist knowledge, or there is uncertainty regarding the potential tax implications, Chaucer will obtain advice from suitably qualified external advisers.
Equally important in Chaucer’s tax planning process is the interaction with Chinese taxation because of China Re’s ownership of Chaucer. As a listed company on the Hong Kong stock exchange, China Re maintains a prudent tax risk appetite and attitude towards tax planning similar to Chaucer. China Re aims to create long-term economic value for shareholders and this includes tax efficiency in its own affairs, as well as those of Chaucer.
Relationship with HMRC
In accordance with its code of conduct, Chaucer believes in having a collaborative, open and honest relationship with HMRC. Chaucer does this by making HMRC aware of key business issues and tax developments (past, current and future) through face-to-face meetings and through separate discussions where required, for example if it is unclear how the legislation would apply in a particular scenario. Chaucer discloses relevant information on key issues and transactions when submitting tax returns to HMRC.
In the event of discovering an inadvertent error or mistake in a submitted tax return, Chaucer will provide full and voluntary disclosure to HMRC as soon as practical, including the reason(s) for the error. Chaucer will then co-operate fully with any follow-up queries, ensure prompt settlement of any outstanding tax liability and put process improvements in place to mitigate the tax risk going forward. Chaucer aims to deal with queries from HMRC on a timely basis and provide full information to explain how the business operates and manages tax risks.
China Re International Company Limited regards the publication of the above information as complying with its duty under Paragraph 19, Schedule 19 of the Finance Act 2016 for the 2024 financial year on behalf of its subsidiary companies.
China Re UK Limited and China Re Underwriting Agency Limited regard the publication of the above information as complying with their duty under Paragraph 22, Schedule 19 of the Finance Act 2016 for the 2024 financial year.
04Our Internal Audit Charters
05Group Structure
To view our group company structure, please click here.