An MGA, typically owned by one principal, continually faces operational disruptions from turnover in his program insurance company partners given the short-term cancellation provisions (usually 90 to 180 days) found in most MGA Agreements. Cancellation rationale can include the cyclical nature of profitability in the insurance industry, plus fundamental shifts in an insurance company's: 1) underwriting appetite; 2) ownership or statutory surplus; 3) philosophy on programs; and/or 4) program oversight personnel. This threat of cancellation, plus restrictive operating terms in his existing MGA Agreement, often requires the MGA principal to spend a disproportionate amount of time searching for new partners.
MGAs would welcome the opportunity to "control their own destiny” by developing as many program insurance company relationships as possible. This would help reduce the risk of potential contract cancellations with their current partners and expand on their current product offerings. MGAs may also want to develop relationships with reinsurance companies which may be transportable to other issuing carriers. Based on its decades of insurance industry knowledge and relationships, MSC is a boutique market specialist poised to provide this invaluable service to MGAs.
Developing, implementing, and monitoring property & casualty insurance programs.
Over 60 program carrier relationships.
Partners with program managers to keep all interests aligned and focused on profitability and success.
Experts at program manager agreements with carrier(s) & profit sharing agreements with carrier(s).
Arranges and hosts all insurance and reinsurance audits.
Continuously strives for existing program expansion or any new program development.