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Underwriting agent

Boat insurance term, area: Contract

An underwriting agent (often called an MGA or coverholder) is an intermediary holding wide authority from an insurer: depending on that authority it may issue policies, and it often examines and settles claims itself rather than simply passing paperwork along. The insurer carrying the risk remains the insurer, and it is the insurer whose money pays a claim. For the owner this can mean that the firm handling the contract also decides the claim.

What to check: Which insurer actually carries the risk, and is it named on the schedule? Does the underwriting agent have authority to settle claims, and who should be contacted first after an incident?

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