WHAT IS CEDAR HYBRID?
Cedar Underwriting – “Not just another MGU”
Cedar believes in operating a flexible approach when looking at granting Delegated Authority (DA). We work closely with our broker partners to develop what they need on a bespoke basis. We offer capacity on a wide range of UK General Commercial business from Property Owners to SME to High-Risk Liability and everything in-between.
At the MGAA Meet the Market event on the 30th of March we launched our new Cedar Hybrid facility to expand beyond being “just another MGU” and setting ourselves apart from the rest.
Obtaining a DA agreement is getting increasingly difficult in today’s market. With insurers requiring more from brokers, our aim is to remove barriers to trading and instead be seen as adding value to the relationship.
How can Cedar help?
Using our new Hybrid model, as well as being an MGU we can now also provide the services of an MGA (Managing General Agent) and a software house.
Unlike a traditional MGA, we will be working with brokers to actively turn "open market" business placed through Cedar's own platform into a DA.
We are not looking to replicate a standard wholesale Managing General Agent (MGA) model that would hold large broker databases with high volume referrals. Instead, we want to work closely with carefully selected partners to grow books of business with an end goal, to obtain a DA.
If a DA is not the end goal, we can still build products on our own platform allowing the broker to focus on distribution and doing what they do best, serving their clients. Again, demonstrating flexibility in our solutions depending on the needs of the broker.
What options are available?
As with our MGU model we aim to be flexible with the Hybrid offering. Below are just 2 potential scenarios.
1. DA already in place but with little or no MI due to no binding platform/system limitations?
Cedar can help using their current MGU model by providing capacity and a quote & bind system.
2. Open Market Business looking for a scheme?
Cedar can consolidate and incubate your book of business to build up enough premium and Management Information until you are ready for a DA.
In these instances, the advantage to you as the broker are:
Product can be live in 8-10 weeks
Due diligence greatly reduced as the broker isn’t binding
Due diligence and compliance work can be done for the DA whilst still trading through the Cedar platform
Management Information is collected whilst Cedar is binding for you in a format we know the capacity wants
Future available add-ons
White labelling of products
Embed quote and bind functionality into broker's own website to allow for more traffic
Daily MI available as through our portal
API to broker's back office
Scheme capacity doesn’t have to be provided by Cedar
Our new Commercial Combined scheme is being launched in April, to run alongside our Commercial and Residential Unoccupied schemes.
If you would like to discuss this further please complete an enquiry form by clicking here