Insurance agency mergers and acquisitions in the United States and Canada totaled 520 announced deals in the first three quarters of 2025, according to data from OPTIS Partners’ M&A database.
This figure represents a 7% decline compared to the same period in 2024. The pace of activity increased in the third quarter, with 188 transactions, a 5% rise from the second quarter.
“Looking ahead to the fourth quarter, we expect activity to be equal to or slightly below Q4 2024, thus continuing the trend of the last three years,” said Steve Germundson (pictured above), partner at OPTIS Partners.
BroadStreet Partners led all buyers year-to-date with 57 transactions, down from 72 in the first three quarters of 2024. Hub International followed with 38 acquisitions. Alera Group increased its deal count by 100% over the past 12 months, while HighStreet Partners and King Risk Partners saw increases of 75% and 53%, respectively.
While overall deal volume has slowed, specialty insurance M&A has accelerated, with private equity firms targeting niche areas such as cyber, environmental, and automation-related liabilities. In the first half of 2024, private equity investments in insurance reached $27 billion, which was already 42% above the total for all of 2023.
OPTIS Partners tracks buyers in four categories: private equity-backed or hybrid buyers, privately held brokers, publicly held brokers, and all others. Private equity-backed and hybrid buyers accounted for 72% of all acquisitions so far this year.
This group now includes not only insurance brokers such as BroadStreet but also institutional investors like family offices, pension funds, and sovereign wealth funds.
“There are interesting dynamics underway. A few new investors are in the market for the first time,” said OPTIS managing partner Timothy J. Cunningham. He noted that there are fewer active buyers among both private-equity and privately owned categories.
Global dealmaking in insurance has softened in 2025, with M&A, venture financing, and private equity transactions collectively down 2% year over year through July. North America saw a 4% reduction in deal numbers, reflecting cautious approaches by dealmakers amid shifting market dynamics.
Privately held brokers announced 145 acquisitions year-to-date, while publicly held brokers reported 54 deals. The report also breaks down sellers into four groups: property and casualty (P&C) insurance agencies, agencies offering both P&C and employee benefits, employee benefits agencies, and other businesses related to insurance distribution.
P&C agencies were the primary sellers, accounting for 336 transactions, or 65% of the total. Employee benefits agencies represented 14% of sales with 75 deals, and agencies offering both P&C and benefits accounted for 9%, or 46 sales. All other sellers made up 12% of the total, with 63 transactions.
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