Equitas, the Lloyd’s vehicle for handling the market’s huge pre-1993 asbestos exposure, has reached a final settlement of all claims related to giant US insurer Travelers. The $329 million payout is the latest step in the long-running attempts by Lloyd’s to unravel all its asbestos exposures, which nearly sank the market in the early 1990s.

The deal will be welcomed by the thousands of Names – unlimited liability investors who dominated the market – because they will have to fund Equitas if its $9 billion asbestos reserves don’t cover its liabilities.