Page 1 ECF User Group Update – April 09 InitiativeStatusActivity ProgressOutlook / Issues Usability & Functionality Sponsor: Gary Bass (LMA) PM: Steve Flood (Lloyds) ECF R8See IMR enhancements and ECF2 sections below. IMR Enhancements Sponsor: Simon Cooper (AAC) PM: Pat Talbot (IUA) IMR Security Models IMR Upgrade IMR Security Model (improved ACL functionality) has now been approved by the MRG. Plans for implementation in November 09 are being developed Project group set-up (IMR Implementation Group). Project Initiation Document drafted by Xchanging. A presentation to ECF and A&S User groups, CAUG and Security model working groups is planned for Friday 15th May to go through the plan to enable Implementation in November 2009, and 'the next steps' to achieve that - working groups to re commence week commencing 17th May Project group set-up (IMR Implementation Group). Xchanging are experiencing some problems with their regression tests that have resulted in a 2 week delay in starting MAT. we anticipate that the 'fix' that has been delivered from Interwoven will resolve the problems and allow MAT to commence later this week. We anticipate that there is still sufficient time to complete MAT in time for Implementation on July 6th. Amber Green

Market Reform Progress ECF User Group Update – April 09 InitiativeStatusActivity ProgressOutlook / Issues ECF 2 (Cost Benefit Analysis to be approved) Sponsor: Mark Chapman (Global Aerospace) PM: Gary Bass (LMA) Document File Viewer (Peter Taylor) Claims Database Project (Peter Taylor) Work flow (Peter Taylor) The MRG has approved Xchanging to work in May and June on a plan to deliver a new market-wide claims system over the next year called "ECF2". "ECF2" provides a new version of the current Lloyd's and Company market "ECF" screens and incorporates the Xchanging workflow, file viewer, and reporting components developed over the past 6-9 months. "ECF2" not only provides a common "front-end" for all carriers dealing with electronic claims, it positions the market to use "back-end" systems other than CLASS, such as a new system for binding authority claims. Together with detailed planning and estimation for the ECF2 proposal to the ECF User Group, the AAC, and MRG at the end of June, development work continues on four new components:. Claim Workflow Triggers, being a file produced regularly during the day advising all claim transaction creates, updates and responses;. Claim Workflow Services, being a workflow front-end allowing users to manage their workload of actions related to claims transactions;. Document File Viewer, being a piece of technology allowing claim handlers to see the documents making up the claims file as one user-friendly document; and. Claims Database, being a new data warehouse for claims information from the various Xchanging source systems, including ECF MI reports. Finally, Xchanging have been asked to produce a proposal to the MRG for a prototype system to handle binding authorities. If the prototype was developed successfully this year, a pilot system could be in place during ECF User Group agreement in principle to ECF2 subject to a number of caveats communicated to AAC. Green

Market Reform Progress Green Amber Green ECF User Group Update – April 09 InitiativeStatusActivity ProgressOutlook / Issues Legacy Sponsor: Simon Cooper (AAC) PM: Gary Bass (LMA) William Armitage (QBE) Partnership Steering Group Enhanced Review Process – next steps Work regarding ongoing reporting and monitoring now in progress. April partnerships now registered with MRO. Meetings with brokers to continue to discuss options for loading complex legacy claims. Further analysis of the implications of ECF2 reveal no impediment to this project. Out of scope claims Sponsor: Gary Bass (LMA) PM: Steve Flood (Lloyds) Binders (Multi OSNDs) Non cash settlements Scheme Canada Proportional treaty Class of business issue (sweep up of all the out of scope or in-scope but with issue blocking use). Project Initiative document complete. Solution document prepared. Development of prototype approved by AAC. ECF2 introduction implications being considered Review Q4 09 Implications of binder prototype findings – await outcome in Q4 09 Review Q2 09. Review underway. Amber Green

Market Reform Progress ECF User Group Update – April 09 InitiativeStatusActivity ProgressOutlook / Issues Governance Sponsor: Gary Bass (LMA) PM: Steve Flood (Lloyds) Review Terms of Reference Review ECFUG Membership Consider Governance Governance review complete. Training Sponsor: Steve Potts (Willis) PM: Charlotte Warr (XCS) Put in place competitive ECF training plan Ongoing training initiatives 1 st draft of project initiative document complete, review of options ongoing. Legacy training sessions and town halls organised for early May. Service Standards Sponsor: Gary Bass (LMA) PM: Ian Mallery (Marlborough) Consider if ECF is currently robust enough to introduce agreed and appropriate Service standards. Draft report and recommendations for review by ECFUG delayed due to related work in other projects. Meeting held with seconded counsel. Drafting meeting organised for mid-May. Green Amber Green

ECF User Group Update – April 09 InitiativeStatusActivity ProgressOutlook / Issues Best Practice Sponsor: Richard Woodhams (Faraday) Sponsor: Laura Bramble (Catlin) PM: Jordan Quick (Lloyds) Time and motion study (led by Tim Lovick/Susan York) XIS Service desk (led by Susan York) Excess layer precautionary notification project (led by Jonathan Webster) Lloyds static claims (led by Will Armitage) Use of query/return (led by Rich Woodhams) Resource from CMS and Xchanging now secured. Approach to Part 1 of study (End-to-End Transaction Cycle Times) agreed at a high level for Lloyds, however approach to Company market claims still being finalised due to nature of concurrent paper file and CLASS entry. Data and touchpoints to be captured is topic of next meeting (to be held on Wed 13th May). Part 2 of study (time taken to adjust/load claim) agreed to be held until IMR Upgrade is complete in July, to avoid capturing what will basically become obsolete data. Focus group in place. Issues being identified and research conducted. Stats requested from Xchanging and visit to view Service Desk in action planned for May. Focus group in place and recommendation tabled. Draft paper circulated to focus group and interested parties for comment, with a view to a presentation to BP in May 09 A draft proposal has been outlined by the sub-group. Further liaison required at the next BECC, before refining/ approving the proposal. Green Amber Green

Market Reform Progress ECF User Group Update – April 09 InitiativeStatusActivity ProgressOutlook / Issues Communication Sponsor: Richard Woodhams (Faraday) Sponsor: Laura Bramble (Catlin) PM: Chris Croft (MRO) Devise communication strategy Ongoing communication initiatives Communications paper drafted. Currently under review prior to circulation to ECF User Group for approval. Binder Authority meeting due on 8 th May. Legacy training sessions for brokers and carriers to be held in May. IMR enhancement presentations due on 15th May MRO Forum including ECF update due on 20 th May Green