Anyone have ideas on multiples for the insurance brokerage space?

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April 03, 2025

by a searcher from Queen's University in Kelowna, BC, Canada

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Reply by a searcher
from INSEAD in Brussels, Belgium
Bringing this back up 11 months later. Have things materially changed since this thread, or are quality insurance brokerages still trading at similarly strong multiples? The recent AI news seems to have hit some of the larger players. I’m curious whether any of this is actually affecting smaller SME brokers in practice, particularly in the $1m to $2m EBITDA range, or whether the impact is still mostly confined to sentiment and public-market names. I’m currently looking at opportunities in Europe, with a focus on Belgium. If anyone has current read-throughs on Belgium or broader European market dynamics, I’d be very interested to compare notes. Let me know.
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Reply by a searcher
from University of Pennsylvania in Indianapolis, IN, USA
My most recent clients in the space traded in 2021 and the larger benefits brokerage (~$8 million of EBITDA) fetched 17.4x / $139 million of TEV and the smaller MGA (~$4.5 million of EBITDA) traded for 12.5x / $57 million of TEV.

Many factors go into the multiple. If it is a smaller independent retail shop, it will trade for somewhere between 2-4x revenue. If it is an actual brokerage or MGA with some scale, it will trade higher. If it is an Excess & Surplus (E&S) MGA or brokerage with scale, then the multiple will be significant.

Happy to discuss more if you'd like - you're welcome to DM me.
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