In insurance, a managing general agent is defined legally as "an individual or business entity appointed by an insurer to solicit applications from agents for insurance contracts or to negotiate insurance contracts on behalf of an insurer and, if authorised to so by an insurer, to effectuate and countersign insurance contracts".
In the U.S. and Canada, a managing general agent may perform one of many tasks normally performed by an insurer. These include but are not limited to, sub-contracting with independent agrents for placement of buisness, negotiating commissions, handling claims, issuing policies, processing endorsements, collecting policy premiums or being responsible for completion of regulatory reports for state or federal agencies.
Historically Managing General agents came about when insurance companies located in eastern United States in the late 19th century and early 20th century. Primarily New York, wanted to expand their markets to Western U.S., yet did n't have the resources to open a regional or local office. Managing General Agents filled that need by providing local and knowledgeable resources who were able to properly underwrite the risks, service the policies and handle claims.
We currently work with a number of MGA's in the United States and Canada and have even moved into other territories where such entities are referred to as Third Party Administrators. Our relationships with these partners means our geographic spread is now inclusive of North America, Eastern Europe, South East Asia and Australiasia. We are always eager to talk to new MGA's where we can offer product support and or insurance capacity from various insurers in the London Insurance Insurance Market - both Lloyd's Syndicates and Insurance Companies.