In a shifting insurance landscape, Managing General Agents (MGAs) have become indispensable to agents and brokers. With specialized underwriting authority, access to proprietary programs, and insight into emerging risks, MGAs serve as a critical bridge between agents/brokers and carriers — often doing what traditional markets can’t.
But not all MGA relationships are created equal. For agents and brokers looking to deliver better results for clients and streamline operations, choosing the right MGA is about more than placing a policy — it’s about forming a true strategic partnership.
This guide outlines key criteria for evaluating MGAs, common challenges to watch out for, and what to look for in an MGA that’s aligned with your long-term success.
MGAs are valuable because they can bind coverage without carrier approval delays — but not all MGAs are equally empowered. The most effective ones have real underwriting authority and use it decisively. Ask what their binding limits are, how often they escalate to carriers, and what turnaround time you can realistically expect.
A standout MGA isn’t just knowledgeable about insurance — they’re immersed in the industries they serve. Whether it’s environmental, assisted living, contractors, or cannabis, your MGA should bring specialized knowledge of the exposures, claims trends, and regulatory nuances that affect your clients.
Top MGAs aren’t just distributors — they’re innovators. Look for partners that can build and manage exclusive programs with underwriting discipline and carrier confidence. MGAs that actively shape markets, not just access them, will offer you differentiated solutions you can’t find elsewhere.
Strong MGAs maintain long-term partnerships with highly rated carriers. This stability translates into consistent capacity, competitive pricing, and confidence that the program will be there at renewal. Ask how long their programs have been running and whether carriers have shifted in or out of participation.
The best MGAs understand your role as a broker and seek to make your job easier. This means offering tools like marketing materials, policyholder resources, submission guides, and even client-facing support for complex cases. An MGA invested in your success will equip you to close the deal and keep the client.
MGAs with program authority carry regulatory obligations that impact you too. A well-run MGA takes this seriously — staying current on surplus lines filings, E&S regulations, and compliance across all operating states. This keeps your business protected from surprises or procedural delays.
Modern MGAs are evolving beyond transactional partners to become analytical ones. If your MGA can provide loss data, benchmark pricing, or trends within their books, you gain a powerful advantage in renewal planning and risk strategy. Ask what reports or insights they can share — especially on larger or layered risks.
Even with technically sound MGAs, there are unique challenges that can affect the effectiveness of the relationship. Awareness is key to addressing them early and constructively.
Many MGAs build specialized programs, but those appetites can shift without much notice — or be more restrictive than they appear on paper. You might think a risk fits, only to learn of hidden exclusions or geographic limitations. Regular appetite updates and pre-submission conversations are vital.
Some MGA programs rely on a single carrier for capacity. If that carrier exits or reduces support, your clients are left exposed. Look for MGAs who’ve demonstrated the ability to maintain long-term capacity partnerships or manage transitions without disrupting service.
Once the policy is bound, does your MGA stay involved? If you’re navigating endorsements, audits, or complex claims, you’ll need a partner who remains responsive and involved — not one who vanishes until renewal. Make sure you understand their post-bind servicing approach.
Especially in emerging or niche markets, underwriting standards can feel inconsistent or overly subjective. You might get a “yes” one day and a “no” the next, depending on the underwriter. Clarity in submission guidelines and criteria can make or break your ability to plan and deliver for clients.
Some MGAs claim to be tech-driven but offer rigid portals that don't allow for complexity or nuance — such as layered placements or non-standard risk narratives. You want an MGA that pairs technology with human flexibility and knows when to deviate from the script.
MGAs often scale rapidly, especially when their programs become popular. But growth without infrastructure can lead to delays, miscommunications, and uneven service. Look for MGAs that invest in onboarding staff and building scalable workflows to support demand.
It’s one thing to find a qualified MGA — it’s another to find one that’s invested in your growth. These are the hallmarks of a relationship that delivers long-term value:
Your MGA should want to know about your agency’s goals, not just your submissions. Do they ask about your market focus? Offer portfolio insights? Help strategize renewals or cross-sell opportunities? That’s a sign they’re in it with you.
The best MGAs offer more than quotes — they share knowledge. Whether it’s appetite shifts, new state filings, upcoming program changes, or claims trends, proactive MGAs keep you informed and help you stay ahead of the curve.
Look for MGAs that offer onboarding, training, and ongoing support — especially if you're venturing into a new vertical. These partners see your success as tied to theirs and will invest in helping your staff understand coverages, documentation, and risk nuances.
From intuitive portals to responsive teams to transparent guidelines, everything about the MGA experience should feel like it’s built around your workflow. Good MGAs remove friction; great MGAs make you wonder how you ever worked without them.
A true MGA partner doesn’t ghost you once the premium is in. They’re there for midterm questions, claims navigation, and renewal strategy. That ongoing engagement is what elevates an MGA from a program provider to a true advisor.
Choosing the right Managing General Agent is about more than carrier access or quoting speed — it’s about finding a partner who enhances your ability to serve, solve, and scale.
At Novatae, we understand that MGAs must be more than market conduits — we must be collaborators. That’s why we’ve built our MGA teams to combine deep vertical expertise, underwriting authority, and a culture of responsiveness. We don’t just offer programs — we offer a smarter, easier, more strategic way to grow.
This article is not intended to be exhaustive, nor should any discussion or opinions be construed as legal advice. Readers should contact legal counsel or an insurance professional for appropriate advice.