Lloyd’s has confirmed approaching all its 1100 employees about registering for a voluntary redundancy program.

Head of Strategic Communications Stewart Todd told insuranceNEWS.com.au the market announced a review of its structure last year due to the challenging economic climate.

“Essentially, given the difficulties the market is facing right now, it is right that we ensure we are operating as effectively and efficiently as possible,” he said.

“We have no set number in terms of staff reductions, but clearly as we look at reducing duplication there could be areas where we will reduce numbers.

“Equally, there will be areas where we may decide there need to be more resources.”

The staff response to the redundancy program will assist in Lloyd’s development of its operating model.

Mr Todd says it will make proposals in the third quarter of this year.