European MGA GWP tops $20 billion in 2024 as growth outpaces US: Howden Re

By Ryan Hewlett

June 10 - (The Insurer) - Gross written premiums underwritten through European MGAs totalled $20 billion in 2024, Howden Re said in a report on Tuesday, with growth across the continent significantly outpacing other jurisdictions, including the larger U.S. market.

Annual GWP handled by European MGAs remains a relatively small component of the $150 billion written annually by MGAs globally and pales in comparison to the circa $115 billion written annually by firms in the U.S., the broker said.

But despite its smaller scale, Howden Re’s report shows a European MGA ecosystem growing at a five-year compound annual growth rate of around 23%, outpacing both U.S. and global benchmarks, where growth is closer to 15%.

Howden Re's report, titled Agents of Change, also found that annual growth within the European MGA sector has exceeded 20% nearly every year since 2019.

“European MGAs are evolving into high-performing, technology-led platforms, echoing the U.S.’s trajectory, as the market scales, develops consistency and integrates across borders,” the reinsurance broker said in the report.

With more than 650 MGAs operating across the continent, Howden Re said the market represents “substantial yet largely untapped potential”.

The report found that investors, reinsurers and carriers are seeking exposure to MGA opportunities. This has helped maintain valuation multiples of 9x to 18x EBITDA, reflecting the efficiency of capital-light, data-rich platforms.

Howden Re said capacity demand is driving a “material opportunity” for potential fronting carriers, as reinsurer appetite outpaces supply, opening the door for hybrid capital structures and cross-border scaling.

“Despite the clear opportunity, success ultimately depends on local execution, with regional regulatory knowledge, localised distribution networks, and underwriting discipline as crucial differentiators,” it said.

BENELUX REMAINS MOST MATURE MGA MARKET

The analysis, launched on the same day as The Insurer’s inaugural European MGA Summit in Amsterdam, also provides an overview of key regional characteristics across the European MGA landscape.

It found that with more than 180 MGAs, the Benelux region is one of Europe's most established MGA markets, supported by strong regulatory frameworks and data transparency, particularly in the Netherlands. Regional total premium is estimated at 3.5 billion euros ($4.0 billion), of which 1.2 billion euros is estimated to be first-party MGA business.

Italy is another substantial player. Howden Re noted that the country's mature MGA market includes more than 100 players and 2.6 billion euros in GWP, despite the absence of a dedicated MGA regulatory definition.

Germany’s circa 70 MGAs underwrite around 950 million euros in GWP. However, Howden Re noted that some long-established marine specialist MGAs in northern Germany are more difficult to capture, likely dispersing premium estimates across a broader MGA ecosystem.

There are approximately 80 to 85 MGAs operating in the French market with circa 900 million euros in GWP. Many of these MGAs have formed from insurtechs and are focused on domestic affinity and embedded models.

Around 60 to 70 MGAs operate in the Nordics with 750 million euros in GWP, led by mature markets in Sweden and Denmark while smaller markets such as Finland and Norway are gradually gaining traction, with particular focus on niche specialty lines, Howden Re said. Spain and Portugal host around 80 to 85 MGAs with 320 million euros in GWP, according to Howden Re’s data.

Howden Re said its report demonstrates how Europe’s MGA model has emerged as a “high-performance, technology-led channel” for underwriting complex and underserved risks, particularly in an environment where local platforms have become critical for markets, including London, to gain distribution access.

The broker noted that while MGA performance in the U.S. is well charted, Europe has historically lacked similar clarity due to variations in definitions, diverse regulatory approaches and a complex operating landscape that reflects the region’s breadth and market conditions.

“We are proud to release this first-of-its kind report which democratises data and insights across European MGAs for the benefit of the wider sector,” said Stephen Greener, CEO of Howden Re Programs.

“The market has evolved dramatically over the past two decades with all signs pointing to continued growth and innovation. Our findings confirm that MGAs are a central force in insurance distribution and product development across Europe. This report is designed to equip both carriers and MGAs with the insight needed to navigate and lead that transformation.”