Becoming an appointed representative.

So, you’re thinking of setting up an insurance brokerage. You’re an experienced account executive or an insurance professional with an eye for a great business opportunity. Whatever your reasoning, deciding which route to take to become authorised is a big decision.

On one hand, you can become directly authorised with the FCA, a process that can take 6 to 12 months. It will also cost you between £6,500 and £75,000 to get authorised and satisfy the FCA’s capital requirement. Alternatively, you can partner with Momentum as an insurance Appointed Representative for a fraction of the time and cost.

What is an appointed representative?

The dictionary definition of an Appointed Representative (AR) is someone (in this case, you) who acts as an agent for a Principal firm (us). The AR then conducts the regulated activity – selling insurance – on the Principal’s behalf. Becoming an Appointed Representative for Momentum, however, means we’ll work in partnership to help you create a successful, long-term business.

Why become an AR with Momentum?

Becoming an AR gives you a quicker route to market. On top of your own insurance experience and technical knowledge, you’ll need commitment and drive to make your business succeed in a competitive industry. Partnering with Momentum gives you a solid foundation to grow your business and access to a range of services that every insurance broker needs.

Partnering with Momentum gives you a broad range of insurance support services. Need help to put together your budget or business plan? Our back-office team has people who love nothing more than some number-crunching. Want some advice on lead generation? Our marketing team are on hand. Just tell us what you need help with, and we’ll find the right person to provide it.

As well as business support, Momentum looks after the following areas on behalf of our Appointed Representatives:

  • Governance framework
  • Insurer agencies
  • Client money handling
  • IT/systems
  • FCA reporting
  • Professional Indemnity insurance
  • FSCS & FCA fees
  • Client relationships
  • Regulatory and compliance advice

Low set-up costs

Momentum will undertake FCA authorisation on your behalf using a combination of our own due diligence and the FCA application process. This means there is little or no cost to you and as we also meet the FCA capital requirement, the only capital you’ll need is the amount required to run your insurance brokerage.

As we’re already authorised by the FCA, the authorisation process for you as one of our ARs is much shorter than if you were directly authorised. We’ll be responsible for FCA reporting on your behalf, as well as any FCA and FSCS fees. You’ll also be covered under Momentum’s Professional Indemnity insurance – another saving at a time when every penny counts.

A ready-made governance framework

When you start trading as an insurance broker, you must ensure you have adequate governance systems and controls in place to run your business properly. Momentum will supply you with a ready-made, proven framework to ensure you comply with FCA requirements.

A market-leading IT system

Technology has disrupted the insurance world over the past few years. It’s essential that, as a Momentum AR, your broking platform is efficient and both customer and user-friendly. That’s why we provide you with Acturis, a market-leading broking platform that offers outstanding service and functionality.

Access to broking experts

Our experienced brokers will source tailored policies for your clients at the best price we can negotiate. Our account handlers will be there to deal with your day-to-day queries. Finally, we’ve got a team of private client experts ready to discretely take care of your high-net-worth clients.

Excellent market coverage

Our team of qualified and experienced staff pride themselves on providing unrivalled broker support to all our partners. We’ve spent years building relationships with insurers across the UK and the London and international markets, meaning you’ll have access to markets a smaller broker wouldn’t usually have.

Insurance placement is made through Momentum’s substantial agency base. We have access to a broad range of insurers and products, which means that as one of our Appointed Representatives, you’ll be able to provide your clients with a high-level service.

Compliance peace of mind

Meeting and maintaining the regulatory requirements of the FCA is a key element of running an insurance brokerage. As a Momentum AR, the regulatory burden shifts to us. This means we deal with changing regulations, fees and FCA reporting. Our exceptional compliance team will keep you updated with regulatory changes and are always on hand to answer any compliance-related questions you may have.

Guaranteed client ownership

As a Momentum Appointed Representative, you have full ownership of your clients. We won’t make direct contact with your clients unless you ask us to or we absolutely have to, and if it doesn’t work out with Momentum, you take them with you.