Always good to know what brokers are thinking when it comes to MGA support. As the classic Motown tune noted, It Takes Two Baby. Here’s the word;
The Direct Commercial Limited (DCL) Broker Barometer finds that an overwhelming 83% of brokers affirm that the insurers and Managing General Agents (MGAs) they collaborate with significantly contribute to the value of their brokerage.
While the survey highlights some positive aspects, it also reveals areas for improvement. Only 48% of respondents commend the effectiveness of communication between brokers and insurers/MGAs, and an additional 39% rate it as fair. These results indicate that more work is required by all MGAs across the market to better understand and meet the specific needs of brokers and their clients.
A noteworthy trend identified in the survey is the increasing recognition among brokers of the benefits associated with long-term agreements. According to the DCL Barometer, 67% of brokers actively seek long-term agreements with insurers to establish stable premiums, showcasing a strategic approach to developing and sustaining their business.
Joe Hantson of Direct Commercial Limited, said:
“The positive feedback from brokers in our survey underscores the critical role that insurers and MGAs play in adding value to brokerage services. By focusing on effective communication, cost management, and technology adoption, we can continue to strengthen these partnerships and support the long-term stability and growth of the commercial motor insurance sector.”
“We are proud that Direct Commercial received an 87% approval rating from brokers for the way we communicate with them. Regular claims review meetings and prioritising broker feedback are key elements in our approach, helping us to enhance and improve our product offerings and policy wordings. This ongoing dialogue allows us to remain responsive to broker needs and refine our services to better serve them and their clients.”
Be the first to comment