Like the Compliance newsletter we issued last month, we are aiming to issue this newsletter bi-monthly; again any comments, topics and ideas on how to improve this would be gratefully received.
~The Editorial Board~
Managing Director's Statement
As we approach the end of year it is good to look back at 2013 and evaluate what we have achieved and identify our successes. I have had a busy first month meeting the board and planning strategy for 2014. Under the excellent steerage of the MGAA Board and with our own General Manager’s hard work we have increased our membership to 78 full and 53 associate members, writing in excess of £3 billion GWP - this has more than doubled since September 2011. This year we have had 2 successful meetings with the regulator, and the FCA has sought to understand in greater detail how an MGA operates and where their fiduciary duties lie.
In September we ran our second highly successful Capacity Exchange with over 150 attendees and 38 insurers and suppliers. The feedback has been excellent and we intend to run similar events in 2014, so watch this space.
In November we were involved in a round table debate held at Incisive Media which looked at MGAs and the benefits they bring to the market; needless to say regulation was on the agenda. So look out for this in the Insurance Age.
So to recap, 2013 has been a busy and constructive year and we expect 2014 to be even more productive. However we are the sum of our members and I would ask you to engage with us at your earliest convenience. If there are issues please bring them to us, in confidence, and we will seek to evaluate these and support you, and remember that you are not alone as many of your MGA colleagues could be in the same position. Jane and I are here to help, so please call or email us and let’s talk. Phone number 020 7617 4442 email: email@example.com
In the interim let Jane and I wish you a happy Christmas and a prosperous 2014.
Four forums have been established to give our members the opportunity to share information and allow networking opportunities. Attendance is limited to 20. Forums meet bi-monthly and dates are available on the web site.
Compliance Forum - meetings bi-monthly
Compliance was the first MGAA forum and has now met four times. The MGAA Regulatory Calendar and Compliance Newsletter have been well received and are available from our website http://www.mgaa.co.uk/news/compliance-news/. These are updated regularly and we would encourage members to download the most recent version from the web site as it gives an informative indication of the issues which are being raised over the next 12 to 18 months. One of the discussion points revolved around the recent speech by Clive Adamson, Director of Supervision, FCA, at the Insurance Institute of London. His speech identified the key areas the FCA will be looking at during 2014 and Delegation of Authority is one of these.
Claims Forum – meetings bi-monthly
The claims forum had its second meeting in November. It was interesting that of the members that were represented, 60% outsource all claims, 30% handle claims in house and 10% combine the two. The use of TPAs and Service Level Agreements (SLAs) was discussed, as these impact upon the service that the MGA provides. SLA are only effective when informative KPIs are established to review the actual service offered and the result of closed claims. Many members reported good working relationships with TPAs and the group will review snagging areas over the next year. Members are encouraged to contact us should they have specific issues or concerns.
Finance Directors' Forum – meetings quarterly
This forum met for the first time on the 25th November and looked at a number of issues, in particular the RMAR return to the regulator - complicated, as the majority of questions were not an exact fit with an MGA. However, we have to accept that the capture of data is a tool of the regulator to ensure market stability and confidence. Other topics raised included levies payable to the FSCS. The MGAA briefing note is available athttp://www.mgaa.co.uk/news/news-releases/.
IT Forum – meetings bi-monthly
This forum has met twice producing lively discussion and sharing information and best practice. Unfortunately the December forum was cancelled due to the low number of members being available. It is hoped that at the next meeting there will be more attendees to discuss generic IT issues and how the MGAA can work with software houses' generic products to improve the accuracy and cut the cost of compiling data for our carriers and other stakeholders.
We are revamping our website; if you would like to sit on this working group then we would be happy to hear from you.