Growth strategy of a (re)insurance company : Delegation of underwriting authority. How to manage a growth strategy through the delegation of underwriting authority to P&C MGAS ?

At the time of this research paper, the (re)insurance market was facing challenges to develop organically. Carriers of risks were looking for new opportunities to grow and one fast-growing trend was the partnership of (re)insurers with Managing General Agencies (MGAs). MGAs are built on the principle of Delegation of Underwriting Authority, which could be broadly defined as an insurer permitting a distribution partner to act on his behalf regarding functions usually handled by the insurer. These distributers are often referred as MGAs or MGUs, sometimes as programs administrators, cover holders or underwriting agencies. They will act as representants of the carrier of risks to retail agents, wholesale agents, or directly to the customers.