The Secret to MGA Success: Three Traits we Look for When Evaluating Prospective Partners
GreenieRE CUO Mike Scholl discusses what he looks for in an MGA partner.
I’ve evaluated over 2,500 managing general agent (MGA) programs over the course of my 33-year career in the insurance industry.
This has taught me to identify gaps in programs, spot the traits that are most valuable in the MGA space, and understand why some MGAs fail while others thrive.
In short, I’ve learned what makes an MGA successful and what the ideal partner looks like for us at GreenieRE. In my experience, it comes down to three key traits: technical expertise, passion, and alignment.
Technical Expertise
We know that many startups and new programs — especially in the clean energy and sustainability spaces — are used to hearing “no” because they lack historical data that traditional insurance carriers want to see. But we know the availability of historical data is not automatically correlated with product viability — so we look at talent and expertise above experience.
At GreenieRE, if an MGA demonstrates technical expertise, an ability to out-select the competition, and deep knowledge of their field, we’re on board to provide support – even without the performance history that others require.
Passion
When selecting MGAs to work with, we’re always drawn to leaders that have a true passion for the niche area that their program serves. We want to see that they chose an area they’re committed to and knowledgeable about, not just where they saw an opportunity to fill a gap in the market.
Our ideal MGA founder has a deep understanding of their field, is willing to bet on themselves, has skin in the game (so to speak), and demonstrates a genuine interest in the work they’re doing.
Alignment
Our goal at GreenieRE is to bring reinsurance capacity to underserved markets and help new sustainable projects scale. We’re looking for MGA partners that are a strong fit for this objective.
Since our launch, our program appetite has expanded beyond clean energy. We’re open to working with standard commercial lines and personal lines with resilience or green enhancements. We’re also suited to support both existing programs that need additional capacity and new programs hoping to secure initial capacity. If it’s good risk, we want to talk.
Finding the right fit – for both of us
We understand that an MGA-carrier partnership is a two-way street; it’s not just about an MGA being a fit for GreenieRE, but also GreenieRE being a fit for the MGA.
That’s why our background as a startup and our experience working with startups are both so important.
We know how difficult it can be to get a new company off the ground, and pain points in the insurance industry are all the more painful when you’re just starting out, so we try to make the process a little easier.
Does this resonate? Then let’s talk!
At GreenieRE, we understand what it takes to run an MGA and we’re well aware of the difficulties niche insurance programs face when securing capacity. That’s why we’re committed to working with mission-aligned MGAs that others may shy away from.
To us, there’s no such thing as a bad idea. We’re always willing to meet new programs and have a conversation about their needs. And if our values align and the MGA in question has the traits we want to see in our partners, we want to work together.
If you think your MGA might be a good fit for GreenieRE, and that we’re a good fit for you, reach out to us. We want to hear from you.