All industries go through expansion and contraction cycles, and the insurance industry is no exception. The current state of the industry suggests that we are in the contraction stage of the cycle, also known as the ‘Hard Market’ situation but will eventually transition into the ‘Soft Market’ phase. Here’s a brief overview from CHES Special Risk , President & CEO, Gary Hirst, an industry veteran who has witnessed all kind of transitions. Here is his take on: “Hard Market: Underwriting becomes more difficult and stringent during a Hard market.” MGA’s — Broker’s ‘survival kit’ in the Hard Market! In the current hard market, MGAs are the industry’s unsung heroes; the ‘survival kit’ for retail brokers. Where domestic markets are shrinking or withdrawing, and where underwriting is becoming more stringent, independent MGA offer capacities and assist brokers in placing risks and completing placements. “At CHES, we’ve been keeping an eye on the Hard Market and the brokers’ activity. W...