Finance & Insurance · NAICS 524210

Insurance Agency Valuation Multiples (2026)

Insurance agencies are one of the most consistent SMB asset classes. Renewal-heavy P&C books with > 90% retention and specialty coverage reach 2.0× revenue and 6.5× EBITDA.

SDE multiple
2.8×
2.4–3.6×
EBITDA multiple
4–6.5×
Revenue multiple
1.5×
1.2–2×

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Industry: Insurance Agency · Finance & Insurance

Premium drivers

  • Renewal rate > 90%
  • Diversified carrier appointments
  • Specialty book (cyber, professional liability)
  • Documented producer transition plan

Discount drivers

  • Single-carrier concentration
  • Aging client demographics
  • Owner-as-only-producer
  • Property-only book in cat-exposed state

Who buys insurance agency?

Larger agency aggregator (Acrisure, Hub, World), PE-backed insurance platform, or strategic carrier

Typical timeline + revenue band

  • Days to close: 90180
  • Revenue band these multiples apply to: $500K$5.00M
  • NAICS: 524210 (Finance & Insurance)

5 levers that lift your Insurance Agency multiple by 30-50%

  1. 1
    Lock in recurring revenue
    Convert the top of your insurance agency revenue stack into multi-year contracts, retainers, or auto-renewing subscriptions. Buyers pay 25-40% more for revenue they don't have to re-win every quarter.
  2. 2
    De-risk customer concentration
    Aim for no single customer above 15% of revenue. If you have a > 25% client, get them on a multi-year master services agreement before going to market.
  3. 3
    Document the business out of the owner
    Larger agency aggregator (Acrisure, Hub, World), PE-backed insurance platform, or strategic carrier will discount aggressively for any function that lives in the owner's head — sales, key vendor relationships, pricing, hiring. Run the next 90 days like the owner is on a 6-week vacation.
  4. 4
    Clean up the financials
    Get a Quality of Earnings-ready trailing 12 months: GAAP-aligned, owner add-backs documented, no commingled personal expenses. This alone moves the multiple 0.5-1.0× upward in this category.
  5. 5
    Match the deal to the right buyer pool
    PE-backed roll-ups, strategic acquirers, and ETA buyers compete on different terms. List with someone who has run a process for insurance agency acquisitions — generic SMB brokers will leave 20%+ on the table.
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FAQ — Insurance Agency valuations

What's a typical insurance agency valuation multiple?

Typical insurance agency valuations land near 2.8× SDE, 5× EBITDA, or 1.5× revenue. Strong operators reach 3.6× SDE / 6.5× EBITDA / 2× revenue, while weaker operators stay closer to 2.4× SDE / 4× EBITDA / 1.2× revenue.

How long does it take to sell a insurance agency?

Most insurance agency deals close in 90–180 days from listing. Strong operators with clean financials and a documented buyer pool close on the lower end.

Who buys a insurance agency business?

Larger agency aggregator (Acrisure, Hub, World), PE-backed insurance platform, or strategic carrier

What pushes a insurance agency valuation to the high end?

Renewal rate > 90%. Diversified carrier appointments. Specialty book (cyber, professional liability). Documented producer transition plan.

What forces a discount when selling a insurance agency?

Single-carrier concentration. Aging client demographics. Owner-as-only-producer. Property-only book in cat-exposed state.