Stubben Edge sets new goal after hitting first year AR network target

The business unveiled the AR network in March 2022, arguing more could be done to support the growth and success of businesses. When the network launched, Stubben Edge set a target of 20 to 30 ARs

We want to grow, so we are on the look for potential deals, but the company has to have the right fit.

Gemma Jarrett

Jarrett commented: “The network has performed really well. People are refreshed with what we offer, and find it to be different to other networks that have been out there for a few years.

“We bought a business, Helodrium, which came with 14 ARs. That took our total to 21.

“We have also just a signed a business, which will be revealed soon, that will bring in a couple more.”

Jarrett detailed that the fintech is on track to reach around 27 in the next month.

“Initially, we didn’t know how it was going to be received, but it has been really well received within the market. We didn’t want to follow suit of the standard AR network models,” she said.

Jarrett has set the new ambition for the network to reach 35 to 40 ARs, dependent on acquisitions.

She added: “We want to grow, so we are on the look for potential deals, but the company has to have the right fit.”

Difficult

According to Jarrett, in the ‘current climate’ it is difficult for an AR on its own to have a voice with insurers. However, she said she understands why insurers might not be paying attention to start-ups, as economic challenges such as inflation have impacted insurers’ profitability.

Ventures really need to come to the table to support start-ups.

Gemma Jarrett

Jarrett added: “We want to have more brokers and intermediaries set up. If you have the consolidators snapping up all these brokers, there’s going to be none left to buy if they can’t create new ones.

“This is why they don’t become part of a network just for regulatory permissions, but also because they can have more of a voice towards insurers.

Regulation

Aside from start-up ARs struggling to capture the support from insurers, Jarrett warned that regulation has also become a challenge.

She continued: “Increased regulation, which we step in and try and support, has become difficult for some ARs. But, effectively, there is responsibility on them too, to make sure they are doing everything as they should be.

“Regulation is one of the biggest barriers they have to overcome, and they rely on us to help them with that. The market does need to appreciate the difficulties that they have.”

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