Posted on: September 22, 2026 by Huntersure
When a professional liability claim is reported, the managing general agent (MGA) may be involved in communications, documentation, and follow-up without necessarily having authority to make claims decisions. For agents placing accounts through a miscellaneous professional liability program, knowing whether the MGA has claims authority or claims oversight helps clarify the division of responsibilities between the MGA and the carrier. The arrangement can vary by program, even within the same MGA.
Claims handling authority means an MGA has authority delegated by the carrier to perform specified claims functions within the scope of its agreement. Depending on the program, that authority may be subject to limits, escalation requirements, or other program terms.
With claims oversight, the carrier retains claims handling authority, while the MGA remains involved in monitoring and documenting claims-related activity. The exact scope of that involvement depends on the program and the MGA’s agreement with the carrier.
Under either arrangement, the MGA may remain active after a claim is reported. The key difference is whether, and to what extent, the carrier has delegated claims decision-making authority to the MGA.
The claims structure helps agents understand what to expect after an insured reports a claim or potential claim. An MGA with delegated authority may perform specified claims functions directly. When the carrier retains authority, the MGA may instead monitor activity, maintain documentation, and communicate with the carrier while claims decisions remain with the carrier.
Knowing the arrangement also helps agents set expectations with the insured and direct questions to the right party. PwC identifies seamless engagement and expert advice as core elements of a customer-centric insurance experience and says that guidance should remain available throughout the claims process. Clear roles between the MGA and carrier can help the insured understand who is involved and where to turn once a claim is reported.
Claims authority, however, is separate from the insured’s reporting obligations. Whether the MGA has authority or oversight does not determine when or how a claim must be reported. Agents and insureds should follow the applicable policy’s notice provisions and the program’s claims reporting instructions.
To understand claims oversight versus authority, consider how Huntersure uses both claims structures across our professional liability insurance programs. We have claims-handling authority for our large law firm, accounting firm, and management consultant programs on behalf of our carrier partner. For programs where Huntersure does not have claims handling authority, we provide claims oversight.
Under both arrangements, our claims team writes up and monitors claims on the same basis. The difference lies in who holds claims handling authority under the specific program.
Huntersure’s in-house system supports underwriting, accounting, and claims functions and is accessible to our insurer partners. Consistent documentation from the first report also supports early intervention in claims management and provides the parties involved with a record of claim activity.
Before placing business through a professional liability program, agents should know who holds claims authority and what role the MGA plays when the carrier retains it. Questions to ask include:
The answers can differ from one program to another, even within the same MGA. Reviewing the specific claims arrangement, policy provisions, and reporting requirements gives agents a clearer picture of what happens after a claim is reported.
Claims authority and claims oversight are not interchangeable. Before placing a professional liability program, agents should understand who holds claims authority, what role the MGA plays when the carrier retains that authority, and what the policy requires when a claim or potential claim is reported.
Reach out to Huntersure to learn more about our claims approach and professional liability programs.
Huntersure LLC is a full-service Managing General Agency that has provided insurance program administration for professional liability products to our partners across the United States since 2007. We specialize in providing insurance solutions for businesses of all sizes. Our program features can cover small firms (grossing $2.5 million annually) to large corporations (grossing $25 million annually or more). We make doing business with us easy with our breadth and depth of knowledge of E&O insurance, our proprietary underwriting system that allows for responsive quoting, binding, and policy issuance and tailored products to meet the needs of your insureds. Give us a call at (855) 585-6255 to learn more.
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