Capital and net worth requirements for MGAs mandate minimum funding levels, owned-fund investment, and annual compliance certification. An MGA must maintain prescribed minimum capital and net worth levels, with company and branch forms both required to hold USD 500,000 capital and a higher net worth threshold of USD 250,000 or 50% of capital, whichever is greater. Any net worth shortfall must be restored immediately and reported within fifteen days, promoters' and shareholders' investments must come from owned funds only, and an annual capital and net worth certificate must be submitted to the Competent Authority.
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Capital and net worth requirements for MGAs mandate minimum funding levels, owned-fund investment, and annual compliance certification.
An MGA must maintain prescribed minimum capital and net worth levels, with company and branch forms both required to hold USD 500,000 capital and a higher net worth threshold of USD 250,000 or 50% of capital, whichever is greater. Any net worth shortfall must be restored immediately and reported within fifteen days, promoters' and shareholders' investments must come from owned funds only, and an annual capital and net worth certificate must be submitted to the Competent Authority.
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