A former senior underwriter at one of Lloyd’s of London’s member firms is facing a potential fine or ban after being accused of serious bullying against another employee.
This comes as the world’s largest insurance marketplace has hit syndicate member Atrium Underwriters with a record £1 million penalty after finding that the firm tolerated bullying and hosted an annual “boys’ night out,” which involved “initiation games, heavy drinking, and making inappropriate and sexualised comments about female colleagues.”
Sources told The Telegraph that Lloyd’s was in the middle of legal discussions about the potential penalties to the former underwriter, whose behaviour involved a “systematic campaign of bullying against a junior employee over a number of years.”
The insurance giant has accused Atrium of failing to protect the junior employee, despite an internal investigation uncovering the seriousness of the misconduct. Instead, the firm settled with the employee and allowed him to resign.
On top of the record fine for Atrium, Lloyd’s has issued the insurance underwriter with costs worth more than £560,000.
“With deep regret, it is clear that Atrium failed to live up to its values and serious errors were made when handling these matters,” Christopher Stooke, Atrium’s chairman, told The Telegraph last week. He added that the firm fully accepts the Lloyd’s rulings.
The revelation came as a setback for the London insurance market after years of complaints over its culture and several attempts to improve it, following claims of sexual harassment which surfaced in 2019.
Andrew Brooks, chair of the Lloyd’s Market Association, which represents underwriters, said the actions they have taken against Atrium and the senior underwriter “send an unequivocal message: bullying, harassment, and other forms of inappropriate behaviour have no place in the Lloyd’s market.”
