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Segment Information
 9 Months Ended
Sep. 30, 2024
Segment Reporting [Abstract]  
Segment Information

15. Segment Information

We have three reportable segments: brokerage, risk management and corporate.

The brokerage segment is primarily comprised of our retail and wholesale insurance and reinsurance brokerage operations. The brokerage segment (which comprises our retail property/casualty, wholesale, reinsurance, benefits and captive operations) generates revenues through commissions paid by underwriting enterprises and through fees charged to our clients. Our brokers, agents and administrators act as intermediaries between underwriting enterprises and our clients and we do not assume net underwriting risks.

The risk management segment provides contract claim settlement and administration services for commercial, nonprofit, captive and public sector entities, and various organizations that choose to self-insure some or all of their property/casualty coverages and for underwriting enterprises that choose to outsource some or all of their property/casualty claims departments. These operations also provide claims management, loss control consulting and insurance property appraisal services. Revenues are principally generated on a negotiated per-claim or per-service fee basis. Our risk management segment also provides risk management consulting services that are recognized as the services are delivered.

The corporate segment manages our clean energy and other investments. In addition, the corporate segment reports the financial information related to our debt and other corporate costs, external acquisition-related expenses and the impact of foreign currency remeasurements.

Allocations of interest income and certain expenses are based on reasonable assumptions and estimates primarily using revenue, headcount and other information. We allocate the provision for income taxes to the brokerage and risk management segments using the local country statutory rates. Reported operating results by segment would change if different methods were applied.

Financial information relating to our segments for the three and nine-month periods ended September 30, 2024 and 2023 as follows

(in millions):

 

 

Three-month period ended
September 30,

 

 

Nine-month period ended
September 30,

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Brokerage

 

 

 

 

 

 

 

 

 

 

 

Total revenues

$

2,396.4

 

 

$

2,122.1

 

 

$

7,637.6

 

 

$

6,585.7

 

Earnings before income taxes

$

511.9

 

 

$

454.0

 

 

$

1,834.3

 

 

$

1,535.4

 

Identifiable assets at September 30, 2024 and 2023

 

 

 

 

 

 

$

52,472.6

 

 

$

49,325.8

 

Risk Management

 

 

 

 

 

 

 

 

 

 

 

Total revenues

$

410.0

 

 

$

369.4

 

 

$

1,199.4

 

 

$

1,053.8

 

Earnings before income taxes

$

60.7

 

 

$

56.4

 

 

$

179.3

 

 

$

151.8

 

Identifiable assets at September 30, 2024 and 2023

 

 

 

 

 

 

$

1,785.6

 

 

$

1,275.9

 

Corporate

 

 

 

 

 

 

 

 

 

 

 

Total revenues

$

0.4

 

 

$

0.5

 

 

$

1.9

 

 

$

0.5

 

Loss before income taxes

$

(169.3

)

 

$

(146.3

)

 

$

(472.0

)

 

$

(419.9

)

Identifiable assets at September 30, 2024 and 2023

 

 

 

 

 

 

$

2,984.5

 

 

$

2,602.2

 

Total

 

 

 

 

 

 

 

 

 

 

 

Total revenues

$

2,806.8

 

 

$

2,492.0

 

 

$

8,838.9

 

 

$

7,640.0

 

Earnings before income taxes

$

403.3

 

 

$

364.1

 

 

$

1,541.6

 

 

$

1,267.3

 

Identifiable assets at September 30, 2024 and 2023

 

 

 

 

 

 

$

57,242.7

 

 

$

53,203.9

 


Disaggregation of Revenue

We disaggregate our revenue from contracts with clients by type and geographic location for each of our segments, as we believe it best depicts how the nature, amount, timing and uncertainty of our revenue and cash flows are affected by economic factors.

Revenues by type and segment for the three-month period ended September 30, 2024 are as follows (in millions):

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

Commissions

 

$

1,537.8

 

 

$

—

 

 

$

—

 

 

$

1,537.8

 

Fees

 

 

585.2

 

 

 

359.8

 

 

 

—

 

 

 

945.0

 

Supplemental revenues

 

 

79.1

 

 

 

—

 

 

 

—

 

 

 

79.1

 

Contingent revenues

 

 

69.3

 

 

 

—

 

 

 

—

 

 

 

69.3

 

Interest income, premium finance revenues and other income

 

 

125.0

 

 

 

9.9

 

 

 

0.4

 

 

 

135.3

 

Revenues before reimbursements

 

 

2,396.4

 

 

 

369.7

 

 

 

0.4

 

 

 

2,766.5

 

Reimbursements

 

 

—

 

 

 

40.3

 

 

 

—

 

 

 

40.3

 

Total revenues

 

$

2,396.4

 

 

$

410.0

 

 

$

0.4

 

 

$

2,806.8

 

 

Revenues by type and segment for the nine-month period ended September 30, 2024 are as follows (in millions):

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

Commissions

 

$

5,193.2

 

 

$

—

 

 

$

—

 

 

$

5,193.2

 

Fees

 

 

1,669.5

 

 

 

1,053.8

 

 

 

—

 

 

 

2,723.3

 

Supplemental revenues

 

 

261.7

 

 

 

—

 

 

 

—

 

 

 

261.7

 

Contingent revenues

 

 

215.1

 

 

 

—

 

 

 

—

 

 

 

215.1

 

Interest income, premium finance revenues and other income

 

 

298.1

 

 

 

27.3

 

 

 

1.9

 

 

 

327.3

 

Revenues before reimbursements

 

 

7,637.6

 

 

 

1,081.1

 

 

 

1.9

 

 

 

8,720.6

 

Reimbursements

 

 

—

 

 

 

118.3

 

 

 

—

 

 

 

118.3

 

Total revenues

 

$

7,637.6

 

 

$

1,199.4

 

 

$

1.9

 

 

$

8,838.9

 

 

Revenues by geographical location and segment for the three-month period ended September 30, 2024 are as follows (in millions):

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

1,516.6

 

 

$

332.6

 

 

$

0.4

 

 

$

1,849.6

 

United Kingdom

 

 

497.2

 

 

 

15.7

 

 

 

—

 

 

 

512.9

 

Australia

 

 

93.8

 

 

 

58.2

 

 

 

—

 

 

 

152.0

 

Canada

 

 

93.7

 

 

 

1.6

 

 

 

—

 

 

 

95.3

 

New Zealand

 

 

53.2

 

 

 

1.9

 

 

 

—

 

 

 

55.1

 

Other foreign

 

 

141.9

 

 

 

—

 

 

 

—

 

 

 

141.9

 

Total revenues

 

$

2,396.4

 

 

$

410.0

 

 

$

0.4

 

 

$

2,806.8

 

 

Revenues by geographical location and segment for the nine-month period ended September 30, 2024 are as follows (in millions):

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

4,725.2

 

 

$

977.3

 

 

$

1.9

 

 

$

5,704.4

 

United Kingdom

 

 

1,656.6

 

 

 

43.7

 

 

 

—

 

 

 

1,700.3

 

Australia

 

 

252.7

 

 

 

167.2

 

 

 

—

 

 

 

419.9

 

Canada

 

 

307.1

 

 

 

5.0

 

 

 

—

 

 

 

312.1

 

New Zealand

 

 

150.8

 

 

 

6.2

 

 

 

—

 

 

 

157.0

 

Other foreign

 

 

545.2

 

 

 

—

 

 

 

—

 

 

 

545.2

 

Total revenues

 

$

7,637.6

 

 

$

1,199.4

 

 

$

1.9

 

 

$

8,838.9

 

 

Revenues by type and segment for the three-month period ended September 30, 2023 are as follows (in millions):

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

Commissions

 

$

1,381.2

 

 

$

—

 

 

$

—

 

 

$

1,381.2

 

Fees

 

 

523.0

 

 

 

323.1

 

 

 

—

 

 

 

846.1

 

Supplemental revenues

 

 

70.8

 

 

 

—

 

 

 

—

 

 

 

70.8

 

Contingent revenues

 

 

53.9

 

 

 

—

 

 

 

—

 

 

 

53.9

 

Interest income, premium finance revenues and other income

 

 

93.2

 

 

 

7.9

 

 

 

0.5

 

 

 

101.6

 

Revenues before reimbursements

 

 

2,122.1

 

 

 

331.0

 

 

 

0.5

 

 

 

2,453.6

 

Reimbursements

 

 

—

 

 

 

38.4

 

 

 

—

 

 

 

38.4

 

Total revenues

 

$

2,122.1

 

 

$

369.4

 

 

$

0.5

 

 

$

2,492.0

 

 

 

Revenues by type and segment for the nine-month period ended September 30, 2023 are as follows (in millions):

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

Commissions

 

$

4,539.0

 

 

$

—

 

 

$

—

 

 

$

4,539.0

 

Fees

 

 

1,414.2

 

 

 

928.1

 

 

 

—

 

 

 

2,342.3

 

Supplemental revenues

 

 

223.6

 

 

 

—

 

 

 

—

 

 

 

223.6

 

Contingent revenues

 

 

179.9

 

 

 

—

 

 

 

—

 

 

 

179.9

 

Interest income, premium finance revenues and other income

 

 

229.0

 

 

 

19.1

 

 

 

0.5

 

 

 

248.6

 

Revenues before reimbursements

 

 

6,585.7

 

 

 

947.2

 

 

 

0.5

 

 

 

7,533.4

 

Reimbursements

 

 

—

 

 

 

106.6

 

 

 

—

 

 

 

106.6

 

Total revenues

 

$

6,585.7

 

 

$

1,053.8

 

 

$

0.5

 

 

$

7,640.0

 

 

 

Revenues by geographical location and segment for the three-month period ended September 30, 2023 are as follows (in millions):

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

1,349.0

 

 

$

313.2

 

 

$

0.5

 

 

$

1,662.7

 

United Kingdom

 

 

427.3

 

 

 

11.9

 

 

 

—

 

 

 

439.2

 

Australia

 

 

79.8

 

 

 

38.5

 

 

 

—

 

 

 

118.3

 

Canada

 

 

89.8

 

 

 

1.8

 

 

 

—

 

 

 

91.6

 

New Zealand

 

 

49.6

 

 

 

4.0

 

 

 

—

 

 

 

53.6

 

Other foreign

 

 

126.6

 

 

 

—

 

 

 

—

 

 

 

126.6

 

Total revenues

 

$

2,122.1

 

 

$

369.4

 

 

$

0.5

 

 

$

2,492.0

 

 

Revenues by geographical location and segment for the nine-month period ended September 30, 2023 are as follows (in millions):

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

4,024.0

 

 

$

892.0

 

 

$

0.5

 

 

$

4,916.5

 

United Kingdom

 

 

1,468.4

 

 

 

34.8

 

 

 

—

 

 

 

1,503.2

 

Australia

 

 

227.8

 

 

 

110.0

 

 

 

—

 

 

 

337.8

 

Canada

 

 

288.1

 

 

 

4.8

 

 

 

—

 

 

 

292.9

 

New Zealand

 

 

140.6

 

 

 

12.2

 

 

 

—

 

 

 

152.8

 

Other foreign

 

 

436.8

 

 

 

—

 

 

 

—

 

 

 

436.8

 

Total revenues

 

$

6,585.7

 

 

$

1,053.8

 

 

$

0.5

 

 

$

7,640.0