April 2015
Welcome to our April 2015 newsletter. – We are always looking for constructive comments and welcome Members suggested topics and ideas on how to improve our newsletter. Please keep them coming.

~The Editorial Board~

MGAA 1 Day Conference - 1 July 2015
The MGAA 1 Day Conference will be taking place on Wednesday 1 July 2015, 10am - 5pm at America Square Conference Centre.  Details for the day can be found on the MGAA Website and bookings can be made either online or by sending an e-mail to Teresa De Atouguia.  Places are filling up fast so don't delay - book now!

BIBA - 13 and 14 May 2015
Come and visit us at our stand at D76.  We will be joined on the stand by Ascent Underwriting, inet3, Plum Underwriting Limited, Sutton Specialist Risks Ltd, Thames Underwriting Limited and Vantage Underwriting Limited.

We look forward to seeing you there.

MGAA Website
The new MGAA Website was launched last month and we welcome your comments and suggestions.  We are building a search engine to allow members to access documents more easily and Insurance Brokers to locate MGAs who are able to underwrite their customers business.  Our thanks go to Stuart Bartram of Brandex for his assistance on this project.

FCA Business Plan Summary
Jonathan Houston of Grant Thornton has provided a one page summary of the FCA Business Plan.  It is divided into 3 sections:

  • Drivers. These are the topic areas that the FCA raises and we take as describing, loosely, the regulatory philosophy for 2015. There is a significant carry-over from 2014’s themes. Key Priority 1 (Strategic markets-led) is pretty much a straight read-through to the 13 activities. 
  • Activities. These are what the FCA will be conducting work on over the course of 2015/early 2016. 
  • Timing. When (if known) activities will commence. Note the grey text indicates scoping still in progress and thus timing is still to be confirmed.

MGAA Learning & Development

The MGAA are committed to developing future leaders within our profession and, working with Lloyd’s, held our first learning and development session where 24 of our leaders of tomorrow spent a day at Lloyd’s understanding how they work, delegated authority, claims and emerging risks. This was complimented by spending time on the “box” to better understand the role of Lloyd's underwriters.

Members Training needs
The Association’s Events & Training Committee [incorporated into the Membership & Benefits Committee] are in the process of building a bespoke MGA skills programme.  To ensure that we can keep the costs to a minimum it would assist us if you would provide details of your requirements.  These could be in relation to any insurance technical matters as well as soft skills.  We are planning to run these courses nationally should there be sufficient demand.

To ensure that we maintain the highest standard of training we are using the services of an industry specialist associated with the CII.  Please send your comments and requirements to Peter Staddon. 

New Members
We extend a warm welcome to the following new members.

Suppliers
Davies Group
Triton Global

MGAA General Meeting

On the 23rd February 2015 the Association held it's General Meeting in the Old Library, Lloyd’s.  With over 40 members registered to attend our Chairman, Reg Brown, outlined how the Association had developed and grown in the past 12 months.  Reg confirmed that the number of full members had grown from 81 in February 2014 to 105 in February 2015.  The 4 standing committees outlined their work during the preceding 12 months with an overview of plans for the next 12 months.  The Association was also pleased to announce that Bill O'Malley of Arch Insurance Company Limited was elected as Director to represent Market practitioner members.  Members who were unable to attend the meeting can listen to the podcast.

MGAA Board

On the 23rd March the MGAA Board were joined by Julian Enoizi CEO of Pool Re.  Julian explained to the board the current thinking behind Pool Re’s changes and how they are working with the Insurance market to resolve their reinsurance requirements.

 

Other issues were discussed and Julian was open with the comments in relation to the workings of Pool Re.

AAMGA
On the 12th February 2015 Bernie Heinz, Executive Director of the American Association of Managing General Agents (AAMGA), held talks with the Associations Managing Director Peter Staddon. This meeting included an interview by Alexis Burris a reporter in the London based “Insurance Day”.  The discussion topic was focused around emerging risks.  The editorial appeared in the Insurance Day on Monday 16th February and outlined some of the discussion concerning Cyber Liability, Solar storms and the use of Drones.

Following this meeting Bernie joined members of the MGAA Board and discussed major changes and research being undertaken in the United States.  Bernie was able to share some of the research and information gathered during this exercise.  Members will remember that last year the MGAA was awarded associated status of the AAMGA
MGAA Market Briefing
On the 9th February 2015 members attended a Financial Ombudsman briefing at the Old Library, Lloyd’s to hear from the Lead Ombudsman, Caroline Mitchell. The briefing attracted approximately 120 registrations

On the 9th March, MGA members Ptarmigan, in conjunction with Wildnet, held a briefing Funding the present without compromising the future, regarding the use of IT to facilitate the growth of their MGA business.

On the 25th March, members attended a market briefing at the offices of Clyde & Co law firm where Ivor Edwards presented on Regulatory & Corporate Issues - a legal update looking at the definition of a true MGA, conflicts of interest, ToBAs and regulatory creep.

Members can listen to the Podcasts which are available on the MGAA website.  These podcasts are eligible towards your CPD requirement. 

Insurance Bill – The countdown begins
Years of detailed consultations and Parliamentary scrutiny culminated in the first change to the law relating to commercial insurance in more than a century as the Insurance Bill received Royal Assent.

The Insurance Act 2015 is designed to change the law to reflect modern business relationships and to rebalance rights and remedies when things go wrong. It's provisions were developed by the Law Commission over several years. The former Law commissioner, David Hertzell, explores this in greater detail. BLM website.

EC3 Legal
Board legal advisor, David Coupe, has issued a short briefing regarding the Insurance Bill for your information.

All Party Parliamentary Group on General Insurance – Flood RE
On the 24th March, Brendan McCafferty, CEO of Flood Re appeared in front of a delegation of Parliamentarians to explain how the formation of Flood Re was progressing and to outline how he was engaging with the industry.

Since this meeting we have been in communication with Flood Re and they are looking at holding some breakfast meetings to explain to the market what Flood Re is and what it will mean for industry participants. 

Accordingly Flood Re would like to invite MGAs who write home insurance business to these events. Further details of the breakfast briefings and an opportunity to register can be found here 

Flood re will also be running some technical workshops in April and May and are inviting MGAA members to come along to those events.  Further details can be obtained here.

Insurance Charities
Members will recall our work with the Insurance Charities and we are pleased to confirm that their latest newsletter is now available which features details of recent and upcoming events for Insurance Charities Awareness Week and our golf day.

Risk Today
The IUA have issued their February 2015 newsletter which looks at a number of influences which affect the London market.

Insurance Liaison Group (ILG)
The MGAA have been invited to sit on the Treasury and HMRC liaison group looking at all aspects of taxation which affect the insurance industry.  While some of the minutes are confidential to the group I would urge members to advise us of any specific taxation issue you may have which we could take to this forum.

FATCA - Update
We, along with Grant Thornton, have been liaising with the Brokers Compliance Officers about our members' compliance with FATCA.

The discussions have been very positive and the MGAA intends to have continued representation at the Brokers Compliance Officers meetings in order to develop a cohesive approach to tackling current compliance issues.

Two points for communication to our members arose at the most recent meeting. These are:

  1. When requested by a broker, the Brokers Compliance Officers would like our members to always provide a completed W-Series form

  2. If providing a W-8IMY, the Brokers Compliance Officers would like the form to be accompanied by a completed withholding statement and the requisite W-Series forms from the parties listed on the withholding statement.

Further resources on FACTA can be found on the MGAA website.

Lutine Assurance Services
MGAA member Lutine Assurance Services, part of RDG, the UK subsidiary of Ryan Specialty Group, is looking to double in size this year following a period of retrenchment in 2014.  According to new business director Andy Coles, the business is now fully integrated into RDG and will take advantage of RDG’s sales, renewals and service capabilities to rebuild the business, which writes individual and group life and protection primarily for SMEs.  To read Andy’s comments click here.

MGAA – On the Road
Peter Staddon, Managing Director, and Jane Comerford, General Manager, have been speaking at a number of venues around the country.

This year we have spoken in Gloucester, Manchester, Exeter and Maidstone.  Peter will be in Liverpool on the 9th June at the Racquet Club in Chapel Street.  For further details or to join Peter and Jane please contact Peter Staddon.

Compliance Newsletter
For those of you who missed our March 2015 compliance newsletter it can be viewed here.

Regulatory Calendar
The latest regulatory calendar can be viewed here.

Members Forum

Insly
Welcome to the very first Insly newsletter!  The insurance industry is going through some exciting changes and there are plenty of stories from innovators all over the world.  Insly thought it would be a good idea to share some of these with you as well as keep you up to date on what´s happening with them.

If you would like to receive these newsletters, subscribe here.

Advent – Flood Excess cover
Paul Dunlop from member firm Advent has advised that they are able to assist with a Flood Excess policy.  For further details contact Paul Dunlop

MSL Legal Expenses
Welcome to this month's newsletter.  As well as a feature on the recent increase in court fees, we've also included a review of the Hyundai i20 and there's a chance to find out more about the MSL team too.

Lloyd’s Tour
Many of our regional members have expressed a wish to undertake a tour of Lloyd's.  Dates are still to be confirmed but if you are interested in attending contact Teresa De Atouguia.

Ordnance Survey
Welcome to the first edition of our newly branded OS News Update for Financial Services!

As you'll see, we've gone through quite a few changes lately; not least our brand refresh complete with logo.

The OS News Update will keep you up to date with the latest industry news, OS events and information about what's happening around the business, as well as product updates.

Have a look around, see what you think and please let us know if you have any feedback or ideas for future editions.

Gallagher Basset
Gallagher Basset are supplier members who provide claims handling facility for MGA.  To view their new brochure click here. 

On Tuesday 17th February Andrew Sewell, Claire Miles and Richard Codd hosted a client webinar on the MOJ Portal reforms on UK Employers and Public Liability claims, 18 months since the changes were enacted.

Key areas covered included: 

  •  Have defendants risen to the challenge – the time limits set by the portal?
  •  Have attitudes changed – are more claims resisted/death of contributory negligence?
  •  Inadequate information on a CNF – abuse of the portal regime or a problem with the Protocol?
  •  Are Postal CNFs still an issue?

Also various other hints, tips and comment.  You can listen back to the session here.