While the number of deals involving insurance brokers in North America fell quarter over quarter 8.5% to 119 in the third quarter, aggregate deal value received a significant bump from a $7.75 billion deal by Marsh & McLennan Agency LLC, according to an S&P Global Market Intelligence analysis.

The trend largely matched the broader M&A market in the US and Canada, where deal frequency declined but aggregate values rose.

The aggregate value of disclosed insurance broker deals in the region rose sharply to $10.40 billion from $370 million in the prior quarter, but was still lower than the $13.22 billion seen in the first quarter.

Marsh & McLennan leads the way

The largest deal announced in the quarter was Marsh & McLennan's $7.75 billion purchase of Mcgriff Insurance Services LLC.

During an earnings call, CEO John Doyle called the third quarter a milestone for the company, partly due to the Mcgriff Insurance deal.

"McGriff has added to what is already an active year for M&A across our business," Doyle said. "We are on [a] track record for the largest M&A year in Marsh McLennan's history, with nearly $10 billion of capital committed to acquisitions year to date."

– In Play Today highlights potential mergers and acquisitions in the global insurance sector, while M&A Replay presents a summary of recently announced deals. – Discover the latest trends in insurance M&A across Asia-Pacific and North America. – Access deep dives into insurance transactions across the globe via our Deal Profile feature.

The second-largest broker deal of the quarter was Ryan Specialty LLC's acquisition of US Assure Insurance Services of Florida Inc. for $1.48 billion, followed by Sentry Insurance Co.'s acquisition of PGC Holding Corp. for $1.10 billion.

The fourth- and fifth-largest broker deals of the quarter were part of Conifer Holdings Inc.'s efforts to exit its insurance agency operations. On Aug. 30, Conifer announced it was selling its insurance agency operations to Bishop Street Underwriters LLC for $70 million, as well as its remaining stake in Sycamore Specialty Underwriters LLC to an undisclosed buyer for $6.5 million.

"As a result of the sale, Conifer no longer has any insurance agency operations, and the company expects a significant decline in revenue," according to a news release about the sales.