Marsh Improves Insurance Offering with McGriff Acquisition

Marsh McLennan, a global leader in risk, strategy and people, is set to acquire McGriff Insurance Services, a prominent provider of insurance broking and risk management services in the US.

The acquisition, facilitated through Marsh McLennan Agency, will strengthen its commercial property, casualty and employee benefits capabilities.

McGriff, an affiliate of TIH, generated US$1.3bn in revenue over the twelve months ending June 30, 2024. This move marks a major step for Marsh McLennan Agency, allowing it to enhance its service offerings across multiple sectors, including management liability and personal lines.

The US$7.75bn deal will be funded through a combination of cash and debt financing. Additionally, Marsh McLennan will assume a deferred tax asset valued at approximately US$500m. The acquisition is expected to close by the end of the year, pending regulatory approval and other standard closing conditions.

John Doyle, Marsh President and CEO, expressed his enthusiasm about the acquisition, stating: "McGriff is a business with excellent leadership, outstanding talent and a record of strong growth.

"The firm complements Marsh McLennan Agency’s capabilities and culture, and I am excited about future opportunities with them as part of our company.”

Bringing shared values together

This acquisition reinforces Marsh McLennan Agency’s long-held respect for McGriff’s reputation and client-focused approach.

“Marsh McLennan Agency has long held McGriff’s legacy and reputation in the highest regard," adds David Eslick, Chairman and CEO of Marsh McLennan Agency. 

"Their client-centric focus, culture and proven record of success mirror our own. Together, our talent and expertise will deliver actionable solutions that help clients build the confidence to thrive.” 

The union of these two industry powerhouses reflects Marsh's ongoing commitment to expanding its capabilities and better serving its clients.

With more than 85,000 colleagues and annual revenue of US$23bn, Marsh's global reach combined with McGriff’s expertise creates a promising future for both companies.

A bright future for McGriff

For McGriff, the acquisition represents an opportunity to leverage Marsh McLennan's extensive resources and global network. Read Davis, CEO of McGriff, shares his excitement about joining forces:

"Marsh McLennan’s global resources and insights will enable us to deliver even greater value to those we serve while creating exciting opportunities for the growth and development of our team."

Founded in 1886, McGriff has built a reputation for delivering insurance solutions across commercial property, casualty, surety, employee benefits and personal lines to businesses and individuals throughout the US.

Upon completion of the transaction, McGriff’s team of more than 3,500 employees, including CEO Read Davis, will join Marsh McLennan Agency while continuing to operate from their current locations.

McGriff's range of coverages includes corporate bonding and surety services, cyber insurance, management liability and alternative risk transfer programs.

The firm’s specialisation in small business insurance, employee benefits and life and health insurance further broadens Marsh McLennan Agency’s already diverse offerings.

A promising collaboration

This acquisition is more than a mere transaction; it’s the merging of two firms with shared values, a commitment to their clients and a vision for the future. 

By bringing together two firms with strong client-centric approaches and talented teams, Marsh is positioning itself for even greater success. Clients can expect enhanced solutions, bolstered by McGriff’s long-standing experience in the US market, while McGriff will benefit from Marsh's global perspective.

As this deal nears its close, both companies are looking ahead to a future filled with new opportunities, innovation and continued growth. 

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