Reinsurers are becoming increasingly selective about the MGA programmes they support, with underwriting profitability, data quality, governance, and the strength of the carrier relationship emerging as key differentiators, according to Accredited’s Head of Reinsurance UK and Europe, Jon Wood, and Head of Business Development, Marco Hensemberger.
As the program market has matured, the pair said reinsurers are looking beyond headline growth and capacity deployment to assess whether an MGA’s underwriting proposition is genuinely sustainable through the cycle, raising the bar for MGAs while placing greater importance on the role of the carrier as the link between entrepreneurial underwriting and institutional reinsurance capital.
Speaking ahead of the 68th edition of the Rendez-Vous de Septembre (RVS), taking place in Monte Carlo from September 5-9, 2026, the two Accredited executives discussed a range of topical issues, including how reinsurers’ expectations of MGA business are evolving, the importance of data, governance and underwriting discipline, and what MGAs should consider when selecting carrier and reinsurance partners.
On the subject of what reinsurers are looking for when deciding which MGA programs they want to support, Wood said, “First and foremost, a strong alignment of interests. The starting point is still underwriting quality and the economics of the underlying business.
“Reinsurers want to understand why an MGA has an edge: whether that comes from specialist underwriting expertise, distribution, access to a particular customer base, or a genuinely differentiated product.
“But increasingly, they also want evidence that the opportunity is repeatable and sustainable. Growth is not enough on its own; there needs to be a credible demonstration of underwriting profitability through the cycle.
“The second key element is transparency. Reinsurers today are looking much more closely at the quality and timeliness of data, underwriting controls and claims performance, but also at how quickly the parties identify and respond when performance starts to move away from expectations.”
According to Wood, the strongest MGAs understand that good data is not simply a reporting requirement; it is a “fundamental” tool for underwriting and portfolio management.
He noted that it allows both the carrier and the reinsurer to understand the business better and, importantly, gives them greater confidence to continue supporting it as it develops.
Hensemberger added, “Reinsurers also want to see a strong and effective relationship between the MGA and its insurance partner. They want confidence that the carrier genuinely understands the business, remains close to the underwriting and provides meaningful oversight rather than simply providing its paper.
“That means having the right governance, underwriting and risk management frameworks in place, with clear parameters, regular engagement and appropriate challenge. When that relationship works well, you get the best of both worlds: the MGA’s entrepreneurial underwriting capability supported by the discipline, expertise and controls of a professional carrier.
“And I think that is where Accredited has an important role to play. Our role is not simply to bring new MGA opportunities to reinsurers; it is to bring them well-selected, well-governed and transparent programs that they can understand and have confidence in supporting over the long term.”
Elsewhere in the interview, the executives discussed how reinsurers’ approach to program business has evolved in recent years, and what that shift means for MGAs.
Hensemberger observed, “There has undoubtedly been a maturation of the market, and the way reinsurers look at program business has evolved. MGA business has become increasingly important to reinsurers because it provides direct access to attractive primary business at a time when traditional insurers are retaining more risk due to stronger capital positions and increased retention capabilities.
“As a result, well-managed MGA programs can offer reinsurers an effective route to deploy capacity closer to the underlying risk and access specialised portfolios that might otherwise be difficult to reach.”
Wood said, “What we are seeing today is much greater differentiation between individual MGAs and programs. Reinsurers are looking beyond growth and asking more sophisticated questions around underwriting discipline, governance, data quality, claims performance and, importantly, what makes an MGA’s proposition genuinely sustainable over time.
“It also means that the quality, expertise and commitment of the insurer have become increasingly important. Reinsurers want confidence not only in the MGA originating and underwriting the business, but also in a professional and dedicated carrier with the specialist know-how, infrastructure and experience required to manage MGA business effectively.
“The insurer must demonstrate that it understands the underlying risks, applies strong governance and portfolio oversight, and is prepared to make active underwriting and remediation decisions. In this respect, the insurer plays a critical role as the bridge between the entrepreneurial capabilities of MGAs and institutional reinsurance capital.”
Hensemberger explained that for MGAs, the implications are broadly positive, although this evolution reportedly brings higher expectations as reinsurers become increasingly selective about the programs they support.
He added, “The strongest MGAs will be able to differentiate themselves through the quality of their underwriting capabilities and operational infrastructure, rather than simply competing for capacity. Those that invest in data, controls, claims management and transparent relationships with their partners should ultimately benefit from more stable access to long-term capital.
“The conversation is shifting from ‘Can I find capacity?’ to ‘Who are the right partners to help me build a sustainable and profitable business?’ — a development that should ultimately contribute to a stronger and more mature MGA market.”
Another topic explored was what MGAs should be looking for when selecting a carrier partner. Hensemberger suggested that choosing the right carrier partner is one of the most important strategic decisions an MGA will make.
He said that running a successful MGA is not about accumulating capacity; it is about securing the right capacity from the right partners to build a sustainable and profitable business.
Hensemberger continued, “MGAs need to look beyond the availability and price of capacity, which will inevitably fluctuate with the market cycle, and focus instead on the quality and long-term value of the partnership.
“A key consideration should be the carrier’s experience, infrastructure and specialist know-how in managing delegated authority business. A good carrier should not simply provide its paper; it should bring additional capabilities and expertise that strengthen the MGA’s proposition.
“That can range from regulatory expertise and Consumer Duty knowledge to underwriting insight, claims capabilities, data and portfolio management, or simply the experience gained from overseeing a broad and diverse range of programs.
“At the same time, the carrier needs to provide effective governance and oversight while preserving the entrepreneurial spirit, specialist expertise and agility that underpin the MGA’s success. The strongest carrier/MGA partnerships strike the right balance between institutional discipline and entrepreneurial freedom.”
Wood concluded on this subject, “Finally, reinsurance should be an important consideration when selecting a carrier partner. MGAs should understand the carrier’s reinsurance strategy, the quality and longevity of its relationships with reinsurers, and its ability to represent and support programs effectively in the reinsurance market, through the cycle.”
Closing the interview, the Accredited executives discussed what makes for a successful MGA-carrier-reinsurer relationship and how they expect those partnerships to evolve in the years ahead.
Wood stated that the best relationships start with clarity and alignment. He continued, “All parties need a shared understanding of the underwriting strategy, economics, risk appetite and ambitions for the program from the outset, whilst recognising these will evolve over time. They also need the right information flowing between them so that performance can be discussed openly.
“The other key element is the ability of the partnership to remain strong through the cycle. There will inevitably be periods when performance is strong and others when results come under pressure. A real partnership is demonstrated in those more challenging moments, when the parties work together to understand what has changed, agree on the right corrective actions and continue to support the business where the underlying underwriting thesis remains sound.
“That ability to navigate difficult periods together is ultimately what turns a commercial arrangement into a long-term partnership.”
Hensemberger concluded, “Looking ahead, I think we will see these relationships become more integrated and more aligned while better data and technology will give reinsurers much greater visibility into portfolio performance.
“For us at Accredited, the strongest MGA-carrier-reinsurer relationships will increasingly operate not as a chain of separate counterparties, but as one aligned underwriting partnership, with a common understanding of risk and performance. Ultimately, that should lead to better underwriting decisions, more efficient deployment of capital and more sustainable growth across the program market.”
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