How Partnering with a Professionally-Managed MGA can Improve Results and Moderate Soft-Cycle Market Pressures
For many in the market, “MGA” is a four-letter word. Poorly-managed MGA’s have generated a negative reputation that sours the perception of the entire MGA model. Valid criticism includes the seemingly obvious foolhardiness of “giving away the pen”, the lack of alignment or even conflict of interests between the MGA and the capacity provider, and the lack of transparency for and control by the capacity provider.
However, a truly professionally-managed MGA can more than adequately address these potential flaws and offer a number of distinct advantages for capacity providers. These advantages include easy and efficient entry and exit, lower ongoing costs, a structure that enables superior underwriting, and reduced impact on and of market pressures.
Read the whole article covering:
What differentiates a “Professionally-Managed” MGA from the others?
How can the potential flaws of an MGA model be addressed?
How can an MGA model generate superior results and moderate competitive pressures?
by Dom Tobey, CEO of Kemah Capital, 8 October 2018