MarshBerry: US insurance brokerage M&A up 5.4% in first five months of 2025

By Michael Loney

June 23 - (The Insurer) - A total of 255 U.S. brokerage M&A transactions were announced in the five months to May 31, 2025, up 5.4% from the 242 deals in the same period last year, according to MarshBerry.

The boutique investment bank said that 59 transactions were announced in May, after a slow April.

“It is expected that this year will continue to see monthly fluctuations in deal volumes, perhaps mimicking the continuously changing macroeconomic environment,” MarshBerry said.

“However, underlying factors point to a continued, albeit more measured, level of activity in 2025. Stabilising inflation, a more favourable debt market for buyers, and ongoing investor interest in the resilient insurance sector are expected to provide tailwinds.”

Private capital-backed buyers accounted for 174 of the 255 deals, or 68%, through May 2025. Independent agencies were buyers in 48 deals, or 18.8%. Bank buyers have announced four deals in 2025.

“Deals involving specialty distributors as targets accounted for 41 transactions, about 16% of the total market, continuing the trend of low supply of specialty firms,” MarshBerry said.

The top 10 buyers accounted for 46% of all announced transactions.

The top three buyers were BroadStreet Partners, Hub International and World, which together accounted for 23.5% of the 255 total transactions.