MGAs drive innovation in the insurance sector – FCA’s Matt Brewis

MGAs are the “most innovative part of the insurance sector” thanks to an appetite and growth that outpaces traditional carriers, according to FCA director of insurance Matt Brewis.

Speaking at the Managing General Agents’ Association’s (MGAA) annual conference on 3 July 2025 during a session entitled FCA Update, Brewis confirmed that in his opinion, MGAs have shown the highest levels of engagement in digital transformation and collaboration with insurtech firms.

Brewis stressed that the FCA is focused on supporting innovation in UKGI, with the regulator currently working to adapt its rules to allow for technological advancements.

One way this priority is being actioned, for example, is through the FCA’s Supercharged Sandbox, which launched in June 2025. This collaboration with US-based technology company NVIDIA is designed to help regulated firms experiment safely with artificial intelligence (AI).

Brewis told delegates attending London’s Old Billingsgate: “We’ve seen the greatest level of engagement around technology and investment technology in insurtech.

“[There has] been a real growth [in this area] in the MGA sector compared to general carriers and brokers and we’re really keen to do what we can to support that.”

Improving processes

Brewis added that the FCA aims to address market-wide concerns about the speed and quality of its authorisations process – the method whereby firms apply to carry out regulated financial activities.

He noted that the regulator has invested in both technology and people to improve this workflow.

Brewis continued: “Our aim is to continue those investments to ensure that we are set up and ready for you when you need new authorisations.

“We’re looking at how we can be more proportionate around our supervisory approach. What we’re always seeking to do is [find] how we [can] most proportionately regulate all of those big firms, from the largest multinational insurers down to one person brokers.”

For Brewis, one of his primary objectives in providing proportionate regulation is to have an impact on the areas where there is the potential for the greatest harm to consumers “as opposed to doing a sheet dip approach to everything”.