By Josh Recamara
The US insurance brokerage sector continues to see strong M&A activity as firms seek scale, specialization and regional depth in a competitive environment.
Gallagher expands Northeast presence
Arthur J. Gallagher & Co has completed the acquisition of Tompkins Insurance Agencies (TIA), a wholly owned subsidiary of Tompkins Financial Corporation, in a deal valued at about $223 million in cash, subject to customary purchase price adjustments.
The transaction marks a significant step in Gallagher's continued expansion strategy across the US Northeast, strengthening its brokerage capabilities in commercial and personal property/casualty, as well as employee benefits consulting.
Tompkins Financial said the sale generated a pre-tax gain of $183 million. The company noted that the transaction positions both organizations for long-term success. Through Gallagher, TIA will continue to serve customers across its footprint, supported by Gallagher’s global brokerage and insurance services network.
Tompkins president and CEO Stephen Romaine said the move was in the long-term interests of both employees and customers, as it provides greater opportunities for future growth. He added that the proceeds from the sale would strengthen Tompkins’ balance sheet, allowing it to replace the near-term earnings contribution from TIA while supporting strategic investments over the longer term.
Piper Sandler & Co. acted as exclusive financial advisor, and Polsinelli PC served as legal counsel to Tompkins Financial in the transaction.
Marsh McLennan adds specialist expertise
Marsh McLennan Agency (MMA), a business of Marsh, announced the acquisition of Hayden Wood Insurance Agency Inc., an independent agency based in Southborough, Massachusetts.
he financial terms of the transaction were not disclosed.
Founded in 1946, Hayden Wood provides personal lines coverage to clients across the US, specializing in collector auto and motorsports products. All employees, including President and Owner Morgan Duffy, will join MMA and continue operating from their current location.
MMA’s Private Client Services President and CEO Pete Walther said the acquisition enhances the firm’s ability to serve high-net-worth clients with unique insurance needs. He noted that Hayden Wood’s expertise in the motorsports niche will allow MMA to provide more tailored personal lines solutions.
Morgan Duffy said joining MMA will enable the agency to refine its capabilities and deliver better outcomes amid ongoing shifts in the personal lines market.
M&A activity: Gallagher buys Tompkins, Marsh McLennan acquires Hayden Wood – Insurance Business America
