What is my group business worth?

This is a question that many advisors are asking themselves. To help guide you in determining the value of your group business, The Insurance and Investment Journal is pleased to provide you with our first Group and Benefits Clientele Value Index.

These special tables feature valuation criteria and expert advice enabling you to better assess your book of business.


Multiples to assess business value:

  • $5 million premium volume and up: 4 to 8 times of EBITDA
  • Less than $5 million premium volume: 1 to 3 times renewal commissions

*You may attribute a positive, neutral or negative evaluation to each of the qualitative factors below – If the result is closer to positive on average, the target price will range in the upper value of multiples range.

 

Table: The Insurance and Investment Journal