A recent survey conducted by Insurance Business Canada has shed light on the reasons that drive brokers to reach out to MGAs.
The survey was conducted to help determine Canada’s top MGAs for 2023, and the hundreds of brokers who served as respondents identified three significant reasons for wanting to work with an MGA.
As outlined in IBC’s report, 65% of broker respondents said they go to MGAs for specialty coverage, while 63% said they do it to gain access to coverage or a specific market. Additionally, 61% said they reach out to MGAs for a particular coverage need.
Mark Whiteley, director of commercial lines at Billyard Insurance Group, echoed these findings as he listed the key features that brokers seek from MGAs, including responsiveness, ease of doing business, an intuitive website, multi-province support, technological support for the quoting process, strong relationships, and a wide range of insurance products.
IBC’s survey also highlighted the frequency of broker-MGA collaborations, with 50% of respondents stating that they worked with an MGA between 11 to 50 times within the last six months. Meanwhile, 45% reported that they conducted around 11-25% of their business through an MGA.
And as brokers continue to tap MGAs for the services they offer, respondents offered insights on what they want to see moving forward.
Some of their feedback called for broader offerings, including coverage for regions like Quebec and additional specialties such as overland water, service line coverage, and groundwater coverage.
There were also suggestions for automation and synchronization of quote approaches, online applications, and integration with their broker management systems for non-complex monoline products.
Read the full report to learn more about brokers’ insights and find out who they chose as Canada’s top MGAs for 2023.
