Insurer MGM Assurance is looking to extend its exposure in the mortgage market, and grow its distribution, currently done through network Mortgage Intelligence (MI).
Currently MI gets its insurance products from MGM Assurance, which in turn has access to mortgage products for its intermediaries through MI. However, the nature of the relationship is set to change.
James Loader, marketing manager at MGM Assurance, said: ‘Our proposition is under discussion as we are aware of the opportunities and challenges that regulation will bring for the mortgage industry. However, no hard and fast decisions have been made at the moment. We do not have a final decision at the moment and are reviewing all the options available to us.’
He refused to confirm or deny that the final decision would be to go with a single network, and said whatever it decided would be in the best interests of its brokers.
Stephen Maskens, manager of MGM Home Finance plc, the subsidiary brand of MGM that will incorporate mortgage regulations, added: ‘Mortgage Intelligence operates a mortgage desk for our advisers that allows them access to its panel of lenders. This deal is up for tender at the moment as MGM is looking at what it will be able to offer under its principal status in the future, but no decision has been made as yet.
‘MGM is not going to discontinue its relationship with MI, but our relationship will depend entirely on the remodelling of our mortgage arrangements. What I am saying is that it may not be an exclusive relationship with MI.’
Sally Laker, managing director of MI, said: ‘We are still in talks with MGM, and are aware that it is looking at its proposition going forward. Obviously there are lots of options available to it, but at the moment everything is still at the discussion stage.’