Advising Client On Authorisation Process To Create A UK Insurance Broker
The Client’s Needs
The client is an overseas-based reinsurance group, supported by US-based private equity, and was looking to extend its existing focus on P&C capital solutions for small and mid-sized P&C companies with the launch of a regulated insurance brokerage operation in the UK, Europe and the Rest of the World. It wished to make a rapid market entrance, utilising passporting rules to enter these markets, but with an ultimate objective of independent authorisation to create a platform from which it could grow both organically and through acquisition. It needed UK-based advisory support to work alongside its lead legal advisors in the US.
ICSR’s initial advice was to utilise the Appointed Representative regime.
ICSR then advised on and assisted with a three-pronged approach to maximise the pace at which the client could achieve both its interim and ultimate objectives. This involved:
- A workstream focussed on initial authorisation as an Appointed Representative;
- A workstream focussed on the Target Operating Model; and
- A workstream focussed on the application for full authorisation.
All three workstreams were able to proceed concurrently, with significant overlap helping to create efficiencies as we worked collectively towards the ultimate goal of creating a fully operating and authorised insurance broking group.
With the desire to achieve initial regulatory approval swiftly, ICSR was able to deploy a mixed team comprising Operations, Compliance and HR specialists, supported by a director of the business. This allowed us to ensure all 3 workstreams progressed as quickly as the regulatory process allowed, to enable to client to begin trading.
The client has been able to begin trading as an Appointed Representative, with ICSR instrumental in assisting with its selection of a Principal that could support its ambitions in the UK and Europe. It has met its initial financial targets and its application for full authorisation is now proceeding with an application for authorisation in the UK and other jurisdictions.