The Camouflaged Contributor to Consolidation
Backdrop of Burnout It’s 7 in the morning, you crack open your email inbox to see if there are any work red-alerts before you take the kids to school. You get them to school and get to the office at 7:30 just so you hopefully have an hour of uninterrupted time to get your inbox […]
What is Private Equity in the Independent Agency System?
In today’s insurance agent marketplace, the phrase “Private Equity” or PE is quite the buzz phrase. The mention of PE causes a wide range of reactions from agency owners. Some owners seek to sell their agencies to PE backed brokers and others are avoiding it like the plague. No matter where you fall on the […]
The Ins and Outs of EBITDA and How to Leverage It
“I bought this book of business for two times 25 years ago; I was just going to do the same when I’m ready to retire.” This is one of the most common quips IA Valuations hears from the generation of agency owners getting ready to retire, and we fear it could leave much on the […]
Three Ways Your Accounting Practices Affect the Value of Your Insurance Agency
In an all too common and unfortunate situation, agency principals are often suddenly forced to step away from their agency due to death or disability. In this unplanned and unexpected scenario, there is no “break-glass-in-case-of-emergency” option, and it can be incredibly disruptive for the ongoing agency operations. At this critical moment, the CSRs and producers […]
The Resiliency of the Independent Insurance Agency System and How You Can Leverage It
Why has private equity fallen in love with the independent insurance agent? Many would be quick to tell you that the insurance broker and agent industry is steady. It weathers storms. Thus, private equity interest in this space has remained so high. While this sentiment is true, how do we know it’s true? How do […]
Contingency Performance Trends
It is contingency season and like any bonus, it can either bring excitement or disappointment. Given the current hard market conditions, contingency season has brought more disappointment than excitement. In this article, we will break down contingency performance for small- to mid-size agencies as it relates to a percentage of annual revenue. Spoiler alert: with […]