Agent and Broker Mergers & Acquisitions - First Half 2025
Posted on July 30, 2025
Mergers and acquisitions among insurance agencies and brokers in the United States and Canada totaled 319 in the first half of 2025.
The First Half 2025 Merger & Acquisition Update prepared by Optis Partners reports 319 announced insurance agency mergers and acquisitions during the first half of calendar year 2025 as compared to 345 for the same period in 2024 (an 8% reduction).
Optis notes that the current deal pace of 758 transactions over the 12-months ended June 30, 2025 may represent the new normal of 750 – 800 transactions per year. Although the number of acquisitions is down from its peak in 2021 (1108) and 2022 (1032), the number of transactions appears to be falling back in line with 2020 (805). Optis indicates that there is still strong demand from the buy side and evidences industry consolidation by pointing out the drop from 140 unique buyers in 2020 to 99 in the first half of 2025. The top 10 active buyers in 2025 accounted for 54% of the acquisitions.
There continues to be sale premiums available for agencies demonstrating a history of consistent performance and growth. Agencies will be well served to perform in-house due diligence in advance of any planned deal activity and as part of a regular quality improvement program. See Agent and Broker Mergers & Acquisitions: 3rd Quarter 2023 for suggested items to review before proceeding.
As you consider preparing your own agency for a sale or if you are considering the purchase of another agency, you may find it helpful to review our 5-part series discussing the merger and acquisition process. We would be happy to work with you as you consider or proceed with your transaction. Knox Law has a history of representing both agent and broker buyers and sellers.
Please contact Bill Helbling for more information.
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