Mike Keating, CEO of the Managing General Agents’ Association commented: “These survey results support the continued dialogue the Association enjoys with the FCA around the topic of a dedicated regulatory framework that reflects the distinct role MGAs play in the insurance ecosystem. A tailored approach, once fully evaluated, would assist in enhancing transparency and operational clarity and strengthen the confidence organisations have when partnering with MGAs. This is a vital step towards ensuring the regulatory landscape evolves in line with the innovation and value MGAs continue to bring to the market."
Tom Stephenson, Director of Corin, added: “The current regulatory framework for MGAs is confusing. While we act as a true MGA, underwriting and managing risk on behalf of insurers, the FCA still treats us no differently to other types of intermediary, such as insurance brokers, despite our distinct responsibilities and operational structure. A dedicated regulatory framework would not only recognise our unique role but also reinforce the credibility and trust brokers place in working with MGAs like Corin.”
The FCA continues to regulate all types of insurance intermediaries in the same way. Corin believes that establishing a dedicated regulatory framework for intermediaries acting solely as the agent of the insurer would enhance transparency, credibility, and operational clarity across the sector, ensuring MGAs are recognised for their unique contributions to the insurance value chain.
Corin, known for its innovative approach as a virtual insurer, sees regulatory reform as an essential step toward aligning industry standards with the evolving needs of brokers and clients. By establishing clear parameters specific to MGAs, the sector would be better equipped to build trust and foster long-term partnerships.
The survey results demonstrate strong broker support for this vision, suggesting a shared desire for greater clarity and recognition of MGAs’ contributions to the market.
Mike Keating, CEO of the Managing General Agents’ Association, recently discussed the issue of regulatory oversight of MGAs with Andy Hurrell, CEO of Corin, in a podcast. The episode can be accessed here.
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