Definsurance.com

It has been found that there will be certain changes in the insurance brokerage sector in 2013. The experts are sure that the number of merges and acquisitions will be different. The major causes of these changes are connected not only with market and economic factors, but also with demographic factors that have an enormous impact on deals.

said Timothy J. Cunningham, the Director of Optis Partners L.L.C., a well-known investment banking group and financial consulting organization involved in insurance intermediaries services. The statistical data show that the last quarter of 2012 was focused on the increased deal activity.

 

As reported on the website businessinsurance.com, the deal activity in 2013 will be reduced, but it does not matter that 2013 will be an inactive year. Many experts in business insurance believe that there may be an increased activity in the insurance brokerage sector, including the broker M&A space. However, they predict that the number of deals may be smaller in 2013. Today many experts use the statistical data taken from the past 6 or 7 years in order to make conclusions concerning the current situation on the business insurance market. It has been revealed that many large regional broker firms were consolidated.

said Mr. Simmons, the Director of Deloitte Tax L.L.P, the leading organization that provides insurance mergers and acquisitions services.

 

In fact, deal-making activity may be spurred by the influx of new brokerages engaged in acquisition activity with private equity firms that provide financial backing.