15 Largest Insurance Brokerages
The 15 largest insurance brokerages for 2016 are listed below. The rankings are based on revenue earned from clients based in the U.S. The list is an excerpt of a report published by Business Insurance, an insurance news magazine. The report is entitled 100 Largest Brokers of U.S. Business.
Act on Behalf of Buyers
Insurance brokers serve as intermediaries between insurance buyers and insurance companies.
They differ from insurance agents, who sell policies under contractual agreements with insurance companies. Brokers act in the interest of insurance buyers. They have no authority to bind coverage or issue policies. To initiate coverage on behalf of an insurance buyer, a broker must ask an underwriter at the insurer to issue an insurance binder.
Broad Range of Services
Large brokers provide a broad range of services. While the specific services provided vary from broker to broker, many offer the following:
- Risk management services
- Loss control services
- Claims management services
- Private client services (personal coverages for wealthy individuals)
- Analytics (such as loss forecasting)
- Employee benefits
- Captives and other forms of alternative risk transfer
- Affinity programs (insurance programs designed for groups, such as franchises)
Several of the largest brokers operate worldwide, maintaining offices in numerous foreign countries.
Examples are Marsh, AON, and Willis. Others, such as USI and BBT, operate mainly in the United States. Some, like Wells Fargo and BB T, are insurance subsidiaries of financial conglomerates.
The Top 15
The largest 15 brokerages are listed in descending order based on 2015 revenue. In its ranking of brokers, Business Insurance did not include companies that generated more than 49 percent of their revenue from personal lines business.
Note that the list includes insurance brokerages only. A list of the top 25 insurance agencies is available separately.
In January of 2016, Willis merged with Towers Watson. The combined company, called Willis Towers Watson, is headquartered in London.