• Think of them as a global professional services firm like **Deloitte** for corporate insurance and risk management.
• They operate somewhat like an **Expedia** for businesses, helping them find and secure the best insurance coverage from various carriers.

• Insurance Brokerage: Helping businesses and individuals procure various types of property, casualty, and other specialized insurance coverage from carriers.
• Risk Management Consulting: Providing expert advice and solutions to identify, assess, and mitigate a wide range of business risks to minimize potential losses.
• Employee Benefits Consulting and Brokerage: Designing, implementing, and managing employee benefit programs, including health, life, and retirement plans, for companies.
• Wholesale Brokerage: Placing complex or specialty insurance risks with carriers on behalf of other insurance brokers and agents.
• Claims Management Services: Assisting clients throughout the insurance claims process to ensure fair and timely resolution.

Arthur J. Gallagher (Symbol: AJG) is a global insurance brokerage, risk management, and consulting services firm. It primarily sells its services to other companies and organizations, rather than directly to individuals as consumers.

Due to the nature of its business as a diversified service provider and for reasons of client confidentiality, Arthur J. Gallagher does not publicly disclose the names of its specific major customers. Its client base is vast and spans numerous industries and geographic regions.

However, we can describe the categories of organizations that typically constitute its customer base:

• Businesses of all sizes: This includes small and medium-sized enterprises (SMEs) up to large multinational corporations across a diverse range of industries. These businesses seek various insurance coverages (e.g., property, casualty, liability, professional indemnity, cyber, directors & officers), risk management consulting, and employee benefits solutions. Examples of industries served include manufacturing, technology, healthcare, construction, energy, financial services, real estate, retail, and transportation.
• Public and Quasi-Public Entities: This category includes municipalities, counties, state governments, public educational institutions (schools, universities), and other governmental or publicly funded organizations that require specialized risk management and insurance programs.
• Non-profit Organizations: Various charities, foundations, associations, and other not-for-profit entities also utilize AJG's services for their unique insurance, risk management, and employee benefit needs.

AJG's revenue comes from a broad portfolio of clients rather than a concentration in a few "major" named accounts, which is typical for global insurance brokers.

J. Patrick Gallagher, Jr. Chairman of the Board and Chief Executive Officer

J. Patrick Gallagher, Jr. began his career with Gallagher as an intern in 1972 and joined the company full-time in 1974. He has held various leadership positions, including Vice President of Operations (1985), President and Chief Operating Officer (1990), Chief Executive Officer (1995), and Chairman of the Board (2006). Mr. Gallagher represents the third generation of the Gallagher family to lead the company, which was founded by his grandfather, Arthur J. Gallagher. He also served as a Director of InnerWorkings, Inc.

Douglas K. Howell Chief Financial Officer

Douglas K. Howell joined Gallagher in 2003 as Chief Financial Officer, overseeing the company's financial, investment, information technology, and administrative functions. He brings over 20 years of experience in the insurance and financial services industry, having served as CFO for both public and private insurance companies. Prior to joining Gallagher, he was the Senior Vice President and CFO of 21st Century Insurance Group. Mr. Howell began his career with public accounting and consulting firms now known as PricewaterhouseCoopers and KPMG and is a Certified Public Accountant (CPA).

Thomas J. Gallagher President

Thomas J. Gallagher joined Arthur J. Gallagher & Co. in 1980 as a producer, following two years in the company's summer internship program. He advanced within the company, becoming area president of the Milwaukee office in 1987 and later president of the San Francisco construction office in 1996.

Patrick M. Gallagher Chief Operating Officer

Patrick M. Gallagher assumed the role of Chief Operating Officer of Arthur J. Gallagher & Co. in 2024. His previous roles include Chairman, Canada and Caribbean, and CEO of Latin America (2019), President of the Midwest region (2016), and leading the UK retail division of Gallagher International (2011).

Walter D. Bay General Counsel and Secretary

Walter D. Bay has served as Corporate Vice President, General Counsel, and Secretary of Arthur J. Gallagher & Co. since 2007. With over 35 years of legal and business experience, he manages a global legal team and advises senior management and the board on a range of issues including regulatory and legal compliance, securities law, corporate governance, litigation, and mergers and acquisitions. He started his career at Chase Manhattan Bank and later became a partner at Harter, Secrest & Emery LLP.

The emergence of technology-first firms leveraging AI and advanced data analytics to offer integrated, proactive risk prevention, mitigation, and insurance solutions. These firms often provide services on a subscription basis, bundling software, continuous monitoring, and embedded insurance products directly to businesses. This model could gradually disintermediate traditional insurance brokers by providing a more holistic and data-driven approach to risk management and transfer, particularly in specialized commercial sectors.

Arthur J. Gallagher & Co. (AJG) operates primarily in insurance brokerage, risk management, and HR & benefits consulting services. The addressable markets for these main products and services are as follows:

• Insurance Brokerage: The global insurance brokerage market was estimated at approximately USD 314 billion in 2024. Specifically for the U.S., this market was valued at around USD 80.07 billion in 2024.
• Risk Management Services: The global risk management market size was approximately USD 14.9 billion in 2024. North America held a significant share, accounting for about 77% of this market in 2024.
• HR & Benefits Consulting:
  • For the benefits aspect, the global employee benefits plus life and health insurance retail broking segment was approximately USD 55.8 billion in 2024.
  • For the broader HR consulting services, the global consulting services market was estimated at about USD 319.83 billion in 2024. North America represents a substantial portion, holding approximately a 38% share of this global market.

Arthur J. Gallagher & Co. (AJG) is expected to drive future revenue growth over the next two to three years through several key strategies:

1. Strategic Mergers and Acquisitions (M&A): A cornerstone of AJG's growth strategy involves consistent and strategic acquisitions. The company has a history of acquiring insurance agencies and services, significantly contributing to its revenue. For instance, the anticipated closure of the AssuredPartners acquisition in Q3 2025 is expected to substantially strengthen AJG's market position and drive additional revenue growth. AJG actively pursues disciplined acquisitions to expand its market presence, service offerings, and geographical reach, with many smaller mergers also contributing to growth.
2. Robust Organic Growth: Arthur J. Gallagher consistently achieves strong organic revenue growth across its Brokerage and Risk Management segments. This growth is fueled by enhancing service offerings, strengthening client relationships, and taking market share, often competing effectively against smaller local brokers. The company anticipates full-year organic growth to be around 9% for 2024 and brokerage organic growth between 6.5% and 7.5% for the full year 2025.
3. Expansion of Service Offerings and Geographic Reach: The company is strategically expanding into new geographical markets and broadening its service offerings within existing ones. Acquisitions like Buck in 2023 bolstered its presence in HR and benefits consulting, diversifying revenue streams and expanding its client base. AJG's global reach and client diversification, with operations across various international markets, also mitigate risks from localized economic downturns.
4. Technological Investments and Innovation: Strategic investments in technology, data analytics, and early AI projects are crucial for AJG's future growth. These investments enable the company to provide more tailored and innovative solutions, improve operational efficiency, enhance client satisfaction, and create a competitive advantage in the market.
5. Favorable Pricing Environment in Certain Insurance Lines: A rational competitive environment in the global property and casualty insurance market supports AJG's revenue trends. While property insurance premiums have seen declines, casualty premiums, such as umbrella and commercial auto, are experiencing increases, contributing positively to revenue.