Strategic Synergies: How MGAs Unlock Value Through Partnerships

The insurtech landscape is evolving quickly. What once focused mainly on distribution now extends across underwriting, actuarial, and claims. Today, MGAs have more access than ever to specialised partners offering best-in-class insurance solutions across the value chain. 

With that opportunity comes complexity. Managing an expanding partner ecosystem takes time, people, and focus. To avoid stretching resources too thin, MGAs need to be intentional about which capabilities stay in-house and where partnerships deliver the greatest value. 

Build vs. Buy: A Practical Decision for MGAs 

Not every challenge should be solved in-house, and not every technology provider needs to become a long-term strategic partner. The real question is where your organisation should invest its time and energy. 

A simple framework helps bring clarity: 

• Commodity capabilities 
  Standard tools or software that do not differentiate your MGA. These are usually best sourced through commercial agreements. 

• Strategic capabilities 
  Core to your business model and competitive edge. These are worth building internally. 

• The middle ground 
  Capabilities that are important but not your core strength. In these cases, partnerships often make more sense than building from scratch. 

Drawing on his experience across both the carrier and technology sides of the industry, our CEO, Frank Perkins, shared on stage at the Insurtech Insight NY panel why the risks of building everything in-house is often underestimated. Long projects, large budgets, and uncertain outcomes can quickly drain resources without delivering real value. 

Building Partnerships That Actually Work: A Practical Guide for MGAs 

This thinking carries directly into how partnerships are built. As discussed on the panel, successful partnerships depend on transparency and clearly defined expectations. Being explicit about what each side is responsible for, what is in scope, and just as importantly, what is not.  

MGAs thrive on partnerships. Carriers, reinsurers, agencies, brokers, and technology providers all play a role. But not all partnerships deliver real value. The strongest partnerships consistently share three characteristics:  

• Transparency – Being clear about objectives, responsibilities, and limitations.  

• Alignment – Ensuring both sides agree on what success looks like.  

• Communication – Setting expectations early and maintaining open, ongoing dialogue. 

Cultural fit also plays a critical role. When things go smoothly, culture rarely gets tested. But when challenges arise, strong relationships and honest, face-to-face communication help teams move forward together.  

Insurance, after all, remains a people business. 

What Industry Research Says About Build vs. Buy 

The build-versus-buy debate is not unique to MGAs. Across the insurance industry, organisations continue to struggle with where to invest internal resources and where partnerships create greater leverage. 

According to a recent report by McKinsey & Company, the decision ultimately comes down to organisational capability and focus: 

“Carriers could consider building if they have strong internal talent, technical depth, and delivery capabilities.” 

Building and maintaining modern insurance technology requires continuous investment; not just at launch, but over time. At the same time, professionals with deep insurance expertise and strong engineering or product skills are rare. 

This is where partnerships become more than a technology decision. Vendors offer access not only to software, but also to specialised expertise, proven delivery capabilities, and ongoing innovation.  

For MGAs, partnering plays directly to a core strength. Managing complex partner relationships is native to the MGA model. From Day 1, MGAs build and maintain a network of partners, carriers, brokers, agencies, and service providers. 

The opportunity is clear: MGAs don’t need to become technology companies. By leveraging their core capability of managing complex partnerships, MGAs can play to their strengths and orchestrate an ecosystem of specialised partners. And in doing so, unlocking faster scales and more sustainable growth. 

Building a Strategic Ecosystem 

Deciding what to build internally and what to source externally is only the first step. The real advantage comes from assembling a carefully chosen network of partners, an ecosystem that amplifies your strengths and fills gaps strategically. 

This approach allows MGAs to: 

• Concentrate on their core strengths. 

• Access technology and expertise faster 

• Align goals and capabilities across the ecosystem to scale and innovate efficiently. 

By focusing on a strategic ecosystem rather than attempting to build every capability internally, MGAs can grow and innovate without overextending teams or resources.  

Choosing the Right Partnerships to Scale with Confidence 

• Be intentional about what you build, buy, or partner for. 

• Choose partners who value transparency, alignment, and communication. 

• Recognise that strong partnerships are built on people, not just platforms. 

• Focus on your strengths and let partnerships from a strategic ecosystem that drives scale and innovation. 

The most successful MGAs are intentional about what they build, what they buy, and where true partnerships can accelerate their strategy. They align goals, invest in transparency, and stay focused on what they do best. By making deliberate partnership decisions and building a strategic ecosystem, MGAs can support long-term growth, operational efficiency, and innovation. Without unnecessary complexity.