Picture this... A UK broker binds a multinational policy covering operations in the UK, US and Singapore. The premium needs to split across three territories, each with different taxes, regulations and currencies. One territory settles monthly, another quarterly. The LPAN for the US portion needs to be in USD, UK in GBP, Singapore in SGD.
Now generate those LPANs accurately, on time, across all three currencies and jurisdictions - in a spreadsheet.
And that's just one policy. Now do it for thousands.
A Lloyd's Premium Advice Note (LPAN) sounds simple enough - tell carriers what premium they're owed. But "simple enough" doesn't take into account a single policy covering multiple territories.
When a policy spans jurisdictions the premium must be allocated in each territory so that taxes, levies and regulatory requirements are correct in each location. This is what "risk split" means in the Lloyd's context. The UK slice needs UK tax treatment, the Singapore slice needs Singapore compliance and each requires its own LPAN, its own tracking and its own settlement workflow.
A single multinational policy can create dozens of manual accounting tasks.
Complexity multiplies. Add three territories and you've added three sets of tax rules, regulatory requirements, currency conversions, and settlement terms. Each needs its own LPAN, checks and reconciliation.
Allocations are prone to errors. Manually calculating risk percentages, applying FX conversions and matching tax rates leaves room for error. Mistakes mean insurers don't get paid correctly, triggering reversals, reissues, and rework for finance teams.
Systems don't talk. Policy systems, generic accounting platforms and reporting tools operate independently. Re-keying data between systems increases the risk of mistakes. LPANs have to be corrected and resent when numbers don't match.
Settlement is slows and relationships suffer. LPAN delays mean settlement delays. Cash sits unallocated until everything matches. That creates friction, damages relationships with carriers and brokers, and increases audit scrutiny when discrepancies can't be explained cleanly.
Finance becomes a bottleneck. Scale amplifies errors. More headcount is required just to keep up. The back office becomes the bottleneck to business growth.
Grappler is an insurance accounting platform that has been purpose-built for Lloyd's complexity. It ingests policy data, applies jurisdiction-specific allocation rules and generates LPANs automatically in correct currencies and formats. Finance teams only need to review exceptions, not every transaction.
When changes happen like adding a new territory, rules are updated once and apply everywhere. There is no re-keying of data, no manual calculations or version control issues.
Reconciliation happens continuously. Cash flow improves because LPANs generate faster and settlement doesn't stall. Unallocated cash reduces because matching happens automatically.
Audit trails are design into the platform where every allocation is logged and every adjustment is traceable. Auditors get the evidence they need by default.
Finance teams get their time back to focus on analysis, forecasting, and business decisions.
Platforms like Grappler turn LPAN generation into a routine, efficient process. If your team is still managing LPANs manually, let us show you a better way.