MGA Corin receives strong performance assessment from AM Best

Managing general agent (MGA) Corin Underwriting Limited (UK) and Corin Underwriting (Europe) GmbH (Corin Europe) (Germany) have been assigned a performance assessment of PA-3 (Strong) by rating agency AM Best, with a stable outlook.

This makes Corin the first UK MGA of its size to be assigned such a high performance assessment by Best.

According to Best, the assessment reflects a number of different factors, including Corin’s strong underwriting capabilities, excellent governance and internal controls, strong financial condition, strong organisational talent and strong depth and breadth of relationships.

At the same time, Corin Europe’s operations demonstrate a number of commonalities with Corin. Corin Europe is regarded as strategically and financially important as it is the group’s European platform. Corin Europe is integrated into Corin and has common underwriting practices and performance trends.

Additionally, Corin’s underwriting capabilities benefit from strong in-house knowledge and expertise of its target markets.

As part of its business model, Corin manages claims in house, effectively resolving claims within a timely manner and taking into consideration run-off risks. Since commencing underwriting in 2017, the company has demonstrated solid growth across its target markets.

The company has also generated profitable business for its capacity providers in recent years; however, it is viewed to have a limited track record given its relatively short operating history and the long-tail nature of its casualty business.

Another key factor to note is that Corin’s financial position is supported by its consistently profitable operations since inception and positive net worth. Best also noted that the company has a parent holding company – CUG Holdings Limited – which has debt obligations that are expected to be serviced by regular dividend payments from Corin.

Stuart Shipperlee, Head of Analysis at rating agency experts Litmus Analysis said: “We’ve been in discussions with Best on its Performance Assessment methodology for more than two years now and the breadth of the agency’s analytical review is both considerable and well thought through.

“For Corin to achieve a “Strong” Performance Assessment level is especially notable given some areas within Best’s assessment process inherently reflect the potential benefits of absolute scale and diversification.”

He continued: “Despite Corin being both a relatively small and new operation it was able to achieve a robust assessment level in all five areas of Best’s analysis: demonstrating that high-quality, smaller MGAs can achieve a Strong assessment outcome.

“Key Corin attributes recognized by Best include the quality of its underwriting capabilities; it’s very well-developed governance and control platform and processes; its delivery of very high-quality service to its stakeholders supported by highly effective IT systems and Corin’s strong financial condition. Having worked together with Corin on this project, and on numerous projects supporting (re)insurers through the rating process we can say that Corin certainly achieves its stated goal of operating like a “Virtual Insurer.”

Andy Hurrell, MD, and co-founder of Corin Underwriting Ltd, commented: “I am immensely proud to announce our decision to embark on an AM Best Performance Assessment journey, marking a significant breakthrough for Corin. This achievement underscores our unwavering dedication to maintaining exceptional standards and driving innovation within our market space. For a company of Corin’s stature, this accomplishment truly reflects our ambition, showcasing remarkable transparency and credibility.

“This accolade holds more than just a mirror to our achievements; it is a testament to the central role that MGAs play within the insurance chain and exemplifies our capacity to function as virtual insurers. Moreover, we hope this recognition will extend to our broader quest of rightfully acknowledging MGAs as professional entities, integral to the intricate fabric of our capacity partners. Exciting times undoubtedly lie ahead.”

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