Mergers and acquisitions among insurance agents and brokers declined in the second quarter as some previously active buyers reduced the number of purchases they completed, according to a report released Wednesday by Optis Partners LLC.
There were 146 transactions announced during the second quarter, a 26% decline from the same period last year and 26% lower than the five-year average, the Chicago-based investment banking and financial consulting firm said in the report.
Over the past 12 months, deals among U.S. and Canadian agents, brokers and other intermediaries fell 21% to 739, the report said.
The slowdown, which began last year, has seen several previously very active buyers, such as Acrisure LLC and PCF Insurance Services, pull back from the M&A market. However, that may be changing, said Tim Cunningham, managing partner at Optis.
“While some formerly very active buyers became relatively inactive, it appears that a few are picking up the pace slightly. Others that didn’t slow down in the recent economic downturn indeed have increased their buying pace,” he said.
A full breakdown of first-half M&As is available here and in the latest edition of Business Insurance.
