Broker and MGA Facilities

Our Broker and Managing General Agents (MGA) Facilities are ready-made frameworks focused on providing you with more clarity and control over risk financing decisions. We provide expertly crafted solutions that can be customized to address a variety of challenges — each one focused on organizations operating in the insurance distribution channel. These solutions address:

• Operational costs and flexibility, such as the offshore/onshore decision
• Regulatory challenges, such as Brexit
• Risk-sharing challenges related to portfolio pricing, coverage and capacity issues
• Revenue-generation opportunities

Our solutions are designed to aid MGAs and intermediary facilities establish a presence in Guernsey, Malta and Gibraltar to gain regulatory compliance, operational efficiencies and greater speed to market.

From the needs of a startup through an established entity, we offer a full range of business support services tailored to make your business a success, including finance, regulatory compliance, actuarial and more.

Managing General Agents (MGAs)

The landscape is changing for MGAs. Ever-increasing regulatory requirements, higher insurer expense ratios and the rise of insuretech are all challenging the MGA model. MGAs are increasingly expected to have wider capabilities, such as actuarial and analytical assessment, regulatory compliance and claims oversight. However, building in-house capabilities across all of these functions can be expensive for established MGAs and may prove impossible for start-ups.

With the right support from a flexible and experienced partner, many of these functions can be managed cost-effectively, leaving MGAs to focus on what they do best and where they provide the most value — underwriting and distribution.

Artex is well positioned to assist prospective MGAs with setting up an operation either onshore or offshore, depending on their needs. Our robust infrastructure and talent in Gibraltar, Guernsey and Malta mean that we have the knowledge and expertise to facilitate the smooth function of the operation, and the relationships in the region to help put clients in contact with the right people.

EU intermediary solutions.

Designed to meet the needs of post-Brexit EU passporting and Insurance Information Directive (IDD) challenges, our team in Malta offers two proven, efficient, low-cost intermediary solutions for your EU portfolios. As an insurance broker or MGA, we can help you:

• Create your own — fully segregated — intermediary cell in our ground-breaking and award-wining Protected Cell Company (PCC) facility.
• Participate in an Artex-owned incubator solution, suitable for smaller portfolios and for brokers who don't want to establish their own cell.

Benefits include:

• Continued intermediating of your EU business as usual
• Low cost
• Low maintenance
• Quick implementation
• Ability to work alongside existing broking or MGA operational models
• Artex-provided infrastructure and management
• Ability for an intermediary to establish, own, license and use cells
• Availability to UK as well as other non-EU intermediaries

Customer-centric solutions.

We help intermediary organizations expand revenue streams and client bases, and gain greater influence over pricing and underwriting capacity, with innovative risk-sharing structures such as Producer-Owned (Re)insurance Companies (PORCs).

This framework can be a good fit for insurance producers with gross premium of approximately US$750,000 (or local currency equivalent). All classes of insurance business are suitable, particularly short-tail lines with low claims volatility. Insurance producers should have strong control over all front-end functions — such as marketing, policy issuance and premium collection — to leverage the benefits of these structures.

By customizing our solutions to meet your goals and challenges, we can help you better leverage your profitable, low-loss ratio portfolios, so you can share in the underwriting profits typically lost to the commercial market.

Working with Artex.

Partnering with Artex offers brokers and MGAs the advantage of working with a company experienced in establishing proven and innovative approaches that have benefited both our industry and the clients we serve. Access to Artex's in-house solutions, as well as our client-sponsored solutions, provides a timely and cost-effective facility, as the (re)insurance structure can typically be implemented with few or no changes to the existing (re)insurance management arrangements.

Our team will be there throughout the process — from the initial assessment and feasibility study to licensing and ongoing management.