MGA (managing general agent) (definition)
A wholesale intermediary that holds underwriting authority from carriers: it prices, binds, and sometimes handles claims on the carrier's paper.
A managing general agent is a wholesale intermediary to which a carrier delegates real underwriting authority: pricing within guidelines, binding, policy issuance, and sometimes claims handling, all on the carrier’s paper. The MGA underwrites; the carrier carries the risk.
MGAs exist where specialty expertise is worth more than carrier scale: niche classes, new programs, and segments the carrier wants to enter without building an underwriting desk. Program business is the MGA’s natural habitat.
For a retail agency, the MGA is a market. The practical questions are the same as for any market: appetite, authority limits, service speed, and the stability of the carrier relationships behind the program.