’We need to continue to offer top quality products, top quality service and of course underwriting profits,’ says chairman

MGAA Chairman Charles Manchester has warned that underwriting will “change beyond belief” as technology continues to evolve.

Opening the MGAA conference in Old Billingsgate in London today (6 July 2023), Manchester said that artificial intelligence (AI) had got “everybody interested”.

For example, insurtech Artificial Labs has been experimenting with ChatGPT as part of a pilot to assist underwriters.

And earlier this year (27 March 2023), insurer Zurich said it was experimenting with the tool as it explored how it could use AI technology for tasks such as extracting data for claims and modelling.

Manchester felt a shift in technology would see a change in the way underwriting was carried out.

“Where [AI is] going to start affecting the way we really do things is when all that machine learning and all of the information that’s embedded in people’s heads at the moment – and to a lesser extent in all the myriad of legacy systems everyone has got – starts getting integrated into the brave new world of AI and it can leverage that data,” he said.

“Then we’re going to see some real changes, underwriting is going to change beyond belief. It’ll be interesting.”


Manchester also stressed that MGA’s needed to ensure they were continuing to offer “top quality” products and service to ensure they were still receiving capacity.

Capacity is capital provided to an MGA by its insurer partners and determines the amount of risk an MGA can underwrite on behalf of these insurers – without it, an MGA would not be able to function.

Speaking to Insurance Times earlier this year (2 June 2023), some MGA’s said that capacity was very much out there, although the requirements to secure it have become more involved.

Manchester said that while there was capacity available, MGA’s needed to add value in order to continue securing it.

“We need to continue to offer top quality products, top quality service and of course underwriting profits,” he said.

“Otherwise, our wonderful capacity providers won’t pay us for doing the underwriting.”

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