In many African and Middle Eastern markets, insurers regularly face long and uncertain timelines when placing facultative reinsurance. Local capacity is often limited, technical expertise varies significantly, and the negotiation cycle with international reinsurers can be slow, especially for complex, technical, or high-value risks. As a result, underwriting decisions are sometimes delayed for days or even weeks, creating frustration for brokers, insurers, and end clients.
This is where a Managing General Agent (MGA) transforms the process.

1. The Challenge: Slow and Fragmented Facultative Placement
Across the region, insurers struggle with:
Limited immediate capacity for industrial and specialty risks.
Time-consuming trading cycles involving multiple reinsurers.
Delays in receiving quotations, endorsements, or amendments.
Technical gaps that require multiple clarifications and resubmissions.
This results in prolonged negotiations, policy issuance uncertainty, and a higher risk of losing business.

2. The MGA Advantage: Faster, Simpler, More Accurate Decisions
An MGA with a binding authority operates differently from a broker or a local cedant. Thanks to delegated underwriting powers, the MGA can:
Provide rapid facultative decisions
The binding authority enables in-house underwriting decisions without multiple external referral layers.
Reduce placement times dramatically
What traditionally took 7–10 days can be reduced to 24–72 hours, depending on the class of business.
Offer stable capacity & predictable support
Backed by an A-rated reinsurer, the MGA delivers consistent and reliable capacity, even in volatile or technical classes.
Improve technical quality.
The underwriting team applies strict technical standards, resulting in cleaner submissions and fewer back-and-forths.
Provide flexible and tailor-made solutions
Complex risks become easier to structure, price, and place because decisions are taken by experts with deep local knowledge and delegated authority.

3. Why This Matters for Insurers in Africa & the Middle East
By routing facultative placements through an MGA with authority, insurers gain.
Speed: faster client service, quicker policy issuance, and competitive advantage.
Certainty: clear capacity lines, stable appetite, and predictable responses.
Technical reassurance: international-grade underwriting standards.
Efficiency: reduced administrative burden and faster turnaround.
In markets where clients increasingly demand immediate answers, this capability can redefine how insurers compete.

4. Surpassing Traditional Long Trading Cycles
Unlike traditional facultative placement, where submissions circulate across multiple reinsurers, an MGA model:
Centralizes the decision-making
Eliminates unnecessary negotiation layers
Reduces underwriting friction
Accelerates the quote–bind–issue cycle
This allows your partners to win more business, retain key accounts, and serve clients with greater confidence.

Conclusion: A Modern Approach to Facultative Reinsurance
The facultative reinsurance landscape in Africa and the Middle East is evolving. Insurers now need partners who combine speed, discipline, capacity, and expertise. 

With the binding authority supported by an A-rated capacity provider, an MGA is uniquely positioned to deliver:
Simplified placement
Fast and reliable underwriting decisions
Technical excellence
Long-term capacity stability
A superior client experience

This is how an MGA reshapes facultative reinsurance for the region: faster, smarter, and stronger.