Radar Results June 2024 Price Guide shows prices for risk insurance businesses have stabilised over the past year, but the firm’s CEO, John Birt, says it’s just a matter of time before they increase in price.
He told Riskinfo his company sees “…an acute shortage of risk books and it’s just a matter of time before they increase in price.”
Birt notes the number of life insurance specialists has decreased immensely “…and the number of risk insurance books or client registers available to be purchased is far smaller than in previous decades.”
Asked how much these risk insurance books and businesses will sell for in the future, Birt says it’s “…all down to the quality of the clients who own the policies, their ages, occupations and the size of the premiums. Policies with large premiums and where the clients are young, like 35 to 55, sell for a premium.”
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Meanwhile, Radar Results June 2024 Price Guide shows similar prices to June 2023 with the company noting the business environment had begun to stabilise, post the Covid pandemic.
The guide itself shows no movement since June 2023 in price multiples for risk insurance clients by age or when based on fee size per client. In June 2023 the company had pointed to an upswing in the value of risk advice practices (see: Risk Advice Practices Worth More).
