HARTFORD, Conn., Sept. 4, 2018 /PRNewswire/ -- The Managing General Agent and Program markets have continued to outpace the growth of the rest of the property-casualty market, according to a new study by Conning.
"Conning's ongoing analysis of MGA-Insurer partnerships found 2017 direct premium growth at almost 7 percent higher than the prior year, and well in excess of the overall property-casualty market growth of 5 percent," said Matt Sternat, a Vice President, Insurance Research at Conning. "The increased growth rate was driven by strong interest in the programs sector, robust rate gains in both commercial and personal auto lines, and growth in the exposure base. While there have been some challenges to certain lines of business, MGA principals remain optimistic in their outlook for program business."
The Conning study, "Property-Casualty Managing General Agent: The Golden Age Endures" presents the MGA marketplace dynamics, trends, players and outlook. Conning's proprietary MGA database includes information on more than 600 active and reportable MGAs and 275 insurer groups that actively use the MGA channel. Additionally, Conning's 2018 proprietary survey of MGA executives provides context and insight into the challenges facing program business today.
"Our analysis found that 21 of the top 25 property casualty insurers reported MGA relationships, and those largest insurers represented more than 60 percent of the non-crop MGA premium," said Steve Webersen, Head of Insurance Research at Conning. "Among the 100 largest U.S. commercial lines insurers based on direct premium, fully 55 percent reported an MGA relationship in 2017. Clearly, insurer demand for this channel and the risks accessed through MGAs continues to be strong."
"Property-Casualty Managing General Agent: The Golden Age Endures" is available for purchase from Conning by calling (888) 707-1177 or by visiting www.conningresearch.com.
Conning (www.conning.com) is a leading investment management firm with approximately $132 billion in global assets under management as of June 30, 2018.* With a long history of serving the insurance industry, Conning supports institutional investors, including pension plans, with investment solutions and asset management offerings, award-winning risk modeling software, and industry research. Founded in 1912, Conning has investment centers in Asia, Europe and North America.
*As of June 30, 2018, represents the combined global assets under management for the affiliated firms under Conning Holdings Limited, and Cathay Securities Investment Trust Co., Ltd. ("SITE"). SITE reports internally into Conning Asia Pacific Limited, but is a separate legal entity under Cathay Financial Holding Co., Ltd. which is the ultimate controlling parent of all Conning controlled entities.