March 24, 2021 by Jason Contant
A U.S.-based managing general agency (MGA) is expanding into the Canadian market to serve Canada’s growing logistics and cargo industry, the company announced Tuesday.
Amwins Specialty Logistic Underwriters (ASLU) specializes in covering complex risk factors of the logistics and cargo industry. The Charlotte, N.C.-based MGA first launched in the United States in 2018 to offer niche coverage solutions for freight forwarders and third-party logistics operators. It operates through more than 125 offices globally and handles premium placements in excess of $22 billion annually. Since its inception, ASLU has underwritten more than 5,000 accounts.
As a Lloyd’s coverholder, ASLU’s expansion into Canada is intended to provide an efficient solution to retail brokerages for securing coverage that previously may have taken days to confirm, ASLU said in a press release. “With claims agents set up for each province, clients are met with high-quality support and service, as well as tailor-made coverage solutions to protect clients’ assets and avoid costly supply-chain disruptions.”
ASLU clients can expect same-day proposals for:
Coverage limits are $5 million. Exceptions include freight forwarder E&O ($1 million) and warehouse legal liability ($10 million). Clients will also receive support related to the risk transferring process, legal responsibilities, contractual duties, in addition to a certificate-issuing platform with built-in reporting capabilities.
“The logistics industry is growing by more than 25% each year,” said Alex Rosas, executive vice president of ASLU. “We look forward to partnering with Canadian retailers to deliver creative logistics insurance solutions to the market.”
The MGA describes itself as the largest independent wholesale distributor of specialty insurance produces in the U.S., dedicated to serving retail insurance agents by providing property and casualty products, specialty group benefit products, and administrative services.
ASLU’s move is the second time this month that a non-Canadian entity has jumped into the Canadian MGA market. Earlier in March, United Kingdom-based investment firm Arete Capital Partners said it had invested CAD$2 million into Shore Underwriting. Based in Toronto, Ont., Shore Underwriting is an MGA that specializes in insurance underwriting for the emerging technology and professional services sector in Canada.
Richard Bryant, head of insurance services with Arete, told Canadian Underwriter at the time that the investment in Shore Underwriting was “only the beginning” of the investment firm’s journey into the Canadian market.
“We see the Canadian market as being underserved from an investment standpoint, dominated by larger entities, and overshadowed by the American market that seemingly attracts more capital and attention,” he said.
Feature image via iStock.com/FangXiaNuo