The initial findings of our MGA/PA Insights Survey from earlier this year indicate that the number one challenge to premium growth is talent retention and recruitment, followed by a lack of underwriting/claims expertise.
When it comes to attracting and retaining talent finding and supporting talent, Managing General Agents (MGAs) and Program Administrators (PAs) face industry-specific demands, competitive pressures, and evolving expectations in the insurance sector that challenge their ability to maintain adequate resourcing while sustaining a lean operational capacity. Additionally, there is a shortage of available specialty expertise to help MGAs and PAs build out their portfolios.
Not only is the competition for talent fierce for MGAs and PAs looking to recruit, but staff absences due to illness or vacations can take a heavy toll on their smaller claims departments, meaning that even with the right staff in place, striking a balance between maintaining adequate resourcing and sustaining a lean operational capacity is difficult.
Beyond finding and retaining talent, there is also a shortage of available specialty expertise, especially the required deep technical expertise needed to help MGAs and PAs build out their portfolios. Without this expertise, MGAs and PAs cannot take advantage of opportunities for growth and successfully achieve the goals of clients whose needs require specific capabilities.
All of this means MGAs and PAs are facing:
- A lack of talent availability
- Difficulty matching staff levels to the ebbs and flows of business
- Limited access to expertise to harness new opportunities and maintain client expectations
This is where the benefits of a strategic partnership can be particularly valuable for MGAs and PAs, particularly in a challenging climate.
Let’s break down some of the key advantages of strategic partnerships for MGAs and PAs when it comes to accessing fresh talent and unlocking deep technical claims expertise.
Access to a Broader Talent Pool and Advanced Training and Development
As the insurance industry continues to evolve, so too does the skill set needed to successfully manage its various challenges and capitalize on diversifying growth opportunities. Partnering with an experienced claims and risk management partner allows MGAs and PAs to tap into a diverse talent pool with diverse skill sets. From channeling the power of employees with the technical skills to analyze data and distill it into meaningful insights to leveraging those with the mindset for delivering customer service excellence, the most effective way to ensure access to the right talent at the right time is to lean on a strategic partnership that gives you access to their expansive resources.
The right partner will not only provide you with access to a wider range of talent but also maintain their training and development, significantly reducing the operational costs for MGAs and PAs.
At Gallagher Bassett (GB), we take great pride in our talent development and retention programs that we have implemented across the business through various initiatives, from developing strong leaders to championing the next generation of claims talent.
Additionally, we are focused on providing our employees with the right tools and support to excel in their roles. This includes investing in technology and resources that enable them to perform at their best and deliver superior claims management outcomes for our partners.
Specialist Expertise
In an increasingly challenging economic environment, specialist expertise is becoming an invaluable resource that is vital to safeguarding long-term stability and profitability.
Underwriting expertise is a significant area of concern for MGAs as they face the rising influence of social inflation. Equally, proactive risk management is an essential tool for helping to prevent claims before they occur, especially in an unpredictable climate with rising settlement and litigation costs. Fully harnessing the effectiveness of these valuable skill sets is a costly investment that can be avoided through a strategic partnership that allows MGAs and PAs to unlock expertise as needed to solve problems and support growth.
A strategic partnership can also assist MGAs and PAs in managing the complexities of compliance in an ever-changing regulatory environment. Claims and risk management partners, such as GB, are at the forefront of these changes and are uniquely equipped to adapt operations to meet new compliance requirements, eliminating the need for resource-heavy in-house legal teams and freeing up internal resources to focus on strategic goals.
Scalability and Flexibility
Demand for insurance products historically fluctuates, and with it, the number of claims to be managed, but carriers have become particularly vulnerable to claims surges.
For many MGAs and PAs, maintaining a large and flexible workforce year-round is particularly difficult, and this is where a strategic partnership becomes the most effective way to manage operational costs efficiently while delivering quality service.
With evolving customer expectations, it is as important as ever to maintain a high level of customer service, but it is also more difficult to do so, which is why maintaining an adequate level of consistently trained and knowledgeable staff is integral to longevity.
Having access to a strategic partner who can support MGAs and PAs in scaling up with demand, at pace, and with a consistent level of service is the most effective way to maintain customer satisfaction without sacrificing profitability.
GB’s dedicated Carrier Practice team has a longstanding reputation for delivering customer service excellence and providing specialty expertise that solves problems and harnesses new opportunities for MGAs and PAs.
Contact us today to see how partnering with GB can help alleviate your resourcing pressures and maximize your potential for growth
