MGA – Managing General Agent news

Velocity Risk Underwriters, a catastrophe exposed property insurance specialist managing general agency (MGA) operation that was originally set up by ILS manager Nephila Capital is set to acquire one of the fronting carriers from State National that had previously been a source of paper for underwritten business that was channelled to Nephila’s funds.

The US managing general agent (MGA) market is expanding rapidly and insurance origination and distribution specialist Amwins has highlighted growing interest in alternative capital sources in the space, with an increasing role for insurance-linked securities (ILS).

Insurance giant AIG is making good on its promise to develop an even more third-party capital backed structure for its Private Client and high-net-worth property business, partnering with investor Stone Point to launch a new MGA.

Speaking about the emerging non-property, or non-catastrophe, insurance-linked securities (ILS) market and its prospects for growth, Andy Marcell, the CEO of Aon’s Reinsurance Solutions acknowledged growing activity there, but said it’s too early to expect it to affect the supply-demand equation.

Stere, an insurance technology (insurtech) start-up that has created a capacity platform to help connect embedded insurance partners and MGA’s to reinsurance capital, has announced a $5 million Seed+ capital raise from investment manager Vida Capital.

Markel’s sale of the two managing general agent (MGA) platforms that its ILS investment manager Nephila Capital had created and had ownership stakes in has unlocked significant value related to its acquisition of the manager, Co-CEO Richie Whitt explained recently.

Amid the increased frequency, scope, and severity of natural catastrophes, insurance-linked securities (ILS) investors stand to benefit from the greater predictability and sustainability of non-nat-cat program-based portfolios of risk, according to AM RE Syndicate.

After Markel Corporation sold off the managing general agent (MGA) platforms created and owned by its flagship insurance-linked securities (ILS) investment manager Nephila Capital, it’s now become clear the combined value of the MGA’s was around $384 million.

Program business, especially that focused on casualty lines of insurance and reinsurance, should prove increasingly attractive to insurance-linked securities (ILS) investors over time, as the cash-positive nature of the structure is beneficial for them, Shevawn Barder, CEO of AM RE Syndicate told us in a recent interview.

Occam Underwriting, the specialist lines focussed Managing General Agency (MGA), that counts reinsurance and insurance-linked securities (ILS) investor Hudson Structured Capital Management (HSCM) as its majority owner, has now completed its acquisition of terrorism risk focused MGA Beech Underwriting Agencies Ltd.