Choosing the best Workers Comp MGA (Managing General Agency) can be a daunting task. Time should be spent evaluating options and coming to a solid conclusion as to which agency will provide the best services. Some essential features to look for when determining which MGA to work with are underwriting authority, fast and reliable services, and some flexibility in the way they operate.
For most employers, workers’ compensation insurance is a must have. Not only in a legal sense, but also in order for a business to be effective, while also protected against various liabilities they may face. At most facilities, a worker is likely to experience a job-related injury at one time or another.
Solid underwriting authority
It’s important that any insurer approves an agent with underwriting authority with a belief that the agent is fully qualified. Given this authority, an MGA will be able to assist clients by evaluating their risks and determining a coverage option that takes any risks faced into account. Clients will benefit from that expertise due to the MGA having a greater knowledge of a specific trade or industry and their ability to provide enhanced policy benefits.
Brokers rely on an MGA for their ability to provide faster quotes. Time is a valued commodity, and many businesses simply cannot afford to waste time waiting for an agent to prepare a quote. This explains the reliance on brokers who can expedite the underwriting process efficiently. Many agencies offer quick turn-around on quotes, thus making them highly desirable.
Flexibility is another key component
An MGA will be the person to determine a client’s premium, but the terms of payment may often allow a marginal amount of freedom for clients. Agents that display more flexibility in this regard by demonstrating a desire to work with clients, especially those having special circumstances, are more desirable to companies in need of this service.
The Workers Comp MGA is an actual operative body of the insurance carrier charter that acts as the carrier in all carrier operative activities, decisions and business development, such as executing the authority of the carrier charter pen as appointed and contracted by the authorized owners of that carrier charter/pen of authority.