The MGA market in Singapore is emerging quickly with new entrants up and running as well as several projects in various stages of development.
Lloyds has a system and Monetary Authority of Singapore (MAS) approval for delegation of Coverholder Authority and this will see increased emergence of businesses.
The non-Lloyd’s MGA scene is developing and the MAS seems positive about growth in this sector provided prudent governance and control is exercised around a clear strategy with satisfactory local underwriting expertise.
Satisfactory underwriting guideline agreements and training, control by the paper providers, BCP, AML and CTF procedures are also critical.
For locally issued insurance policies in Singapore by an MGA, a local insurer must be engaged under a formal agreement and this also requires a separate General Insurance Association (GIA) license.