The insurance industry saw a staggering amount of PE activity in 2014, closing nearly double the deals seen in just 2010, according to the PitchBook Platform. The trend has shown no signs of slowing so far this year either, highlighted by the recent $1.5 billion backing of Fidelis Insurance (not to mention scores upon scores of add-ons).
Click to explore the data in the PitchBook Platform
In an uncertain global economy, it's little surprise insurance is attracting PE interest. For one, many insurers within EMEA are expected to divest non-core businesses before 2017; secondly, the space is ripe for consolidation. PE investors are capitalizing on these opportunities, even moving beyond backing brokers—their typical focus—to also look toward traditional underwriting businesses.
Might PE firms be looking for more singles and doubles in insurance (i.e. predictable returns) as opposed to swinging for the fences? To explore our data in the sector, click here.