Arthur J. Gallagher & Co. has announced a $1.2 billion acquisition of rival insurance brokerage firm Woodruff Sawyer, further strengthening its position in key markets and expanding its service offerings. The deal, expected to close in the second quarter of 2025, represents Gallagher’s latest strategic move to grow its footprint in the competitive insurance brokerage industry.
Strengthening Market Position
This acquisition significantly enhances Gallagher’s capabilities in management liability, construction, real estate, and cyber insurance. By integrating Woodruff Sawyer’s expertise, Gallagher aims to expand its presence on the West Coast, a critical region for insurance growth and middle-market client servicing.
The transaction follows Gallagher’s $13.5 billion acquisition of AssuredPartners in December, underscoring the company’s aggressive expansion strategy. Industry consolidation has surged in recent years as brokers compete for a stronger foothold in the middle-market segment.
The Woodruff Sawyer Legacy
Founded in 1918 by E.L. Woodruff, San Francisco-based Woodruff Sawyer has evolved into one of the largest independent insurance brokerage firms in the United States. Known for its specialized focus on Directors and Officers (D&O) insurance, the firm provides property and casualty insurance, employee benefits solutions, and risk management services to middle and large-market clients.
Woodruff Sawyer has built a reputation as a trusted advisor in D&O insurance, a critical coverage that protects executives and businesses from legal claims related to corporate decision-making. With a team of over 600 employees operating across 14 U.S. offices and one in the U.K., the company reported pro forma revenue of approximately $268 million for the 12 months ending December 31, 2024.
A New Chapter Under Gallagher
Under the terms of the acquisition, Woodruff Sawyer’s workforce will be integrated into Gallagher’s U.S. retail property and casualty brokerage division, operating under the leadership of Peter Doyle. This transition is expected to create new growth opportunities for both firms while ensuring continuity of service for existing clients.
The acquisition marks another milestone in Gallagher’s long-term strategy of expanding its service offerings through strategic mergers and acquisitions. With increased capabilities and a broader geographic reach, Gallagher is poised to strengthen its leadership position in the insurance brokerage sector.
As the industry continues to consolidate, this move signals Gallagher’s commitment to delivering comprehensive, high-value insurance solutions to clients across diverse industries.