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Insurance brokerage M&A stays hot as sellers are warned to vet authority
US insurance distribution logged 854 announced brokerage transactions in 2025, up 0.8% from 2024, even as buyers backed by private capital led nearly 71% of deals.
Insurance brokerage dealmaking remains near historic highs, even as overall transactions slow, according to Insurance Business. The outlet cited MarshBerry data showing US insurance distribution saw 854 announced brokerage transactions in 2025, a 0.8% increase versus 2024 and the third-most-active year on record.
Insurance Business also noted that private capital-backed buyers were responsible for nearly 71% of those deals. Against that backdrop, agency owners are being urged to focus on more than purchase price when evaluating a sale.
Insurance Business highlighted concerns raised by Jerry Conrey, a principal at Conrey Insurance Brokers and Risk Managers, who said principals should examine where decision-making authority, client relationships, and operational judgment will land after closing. Conrey warned that sellers may not be asking the right questions, and that the most consequential terms can be ones sellers assume rather than test.
Conrey also pointed to the risk of ambiguous contract language, saying it can end up benefiting the buyer, particularly when sellers continue to be associated with the agency. He described a situation where prospective partners touted carrier appointments, but calls to senior carrier executives indicated those insurers were not appointing new agencies at the time, prompting him to advise principals to verify appointment availability and stress-test related arrangements before signing.