Lotl-Botl does not like giving ground in hand-to-hand combat. If the enemy are coming at him from all sides and trying to overwhelm him, it just makes him angrier. He wades into the pressing throng cutting a swath right into the heart of the enemy unit, yelling to his warriors to follow him. They are inspired by his presence, becoming harder to beat in close combat.
Source: Warhammer Armies Project: Unofficial 9th Edition (v2.2)
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Any unit of Saurus Warriors Lotl-Botl joins gains a +1 bonus to their combat resolution as long as he is in the unit.