New fronting carriers and MGA incubators fuel growth
Hartford, CT (June 27, 2019) – The Managing General Agent and Program market is continuing its growth and is solidly entrenched as a key business model for property-casualty business, according to a new study by Conning.
“The MGA market has nearly doubled since 2012 when Conning began tracking this sector,” said Jerry Theodorou, a Vice President, Insurance Research at Conning. “The MGA market continued expanding in 2018 and early 2019, driven by numerous factors including MGA startups, insurers’ quest for blocks of business, and investment from private equity and MGA incubator firms.”
The Conning study, Managing General Agents: The Super Model of the Insurance Industry, presents the MGA marketplace dynamics, trends, players and outlook. Conning’s proprietary MGA database includes current and historical information on more than 600 MGAs and 275 insurer groups that actively use the MGA channel. Additionally, Conning’s 2019 proprietary survey of MGA executives provides context and insight into the challenges facing program business today.
“There have been new entrants utilizing the fronting model for MGA business,” said Steve Webersen, Head of Insurance Research at Conning. “We also observe transformer models developing that are incorporating ILS or special purpose vehicles within the fronting approach that will deliver even more growth to the sector.”
Managing General Agents: The Super Model of the Insurance Industry is available for purchase from Conning – call (888) 707-1177 or visit www.conning.com.
Conning is a leading investment management firm with a long history of serving the insurance industry. Conning supports institutional investors, including pension plans, with investment solutions and asset management offerings, risk modeling software, and industry research. Founded in 1912, Conning has investment centers in Asia, Europe and North America. For more information, visit www.conning.com.
SOURCE: ConningTags: Conning, MGA