WFG Capital Advisors: The State of Insurance Agency Consolidation; Today & Tomorrow

HARRISBURG, Pa. -Oct. 5, 2004- Robert Lieblein and Steven Wevodau, Managing Principals of WFG Capital Advisors, conducted an extensive presentation on the state of insurance agency consolidation to NAPSLO members September 21 in Orlando FL. The 90 minute presentation is now being made available to all industry professionals for a limited time.

Agency mergers have seen accelerated growth in 2004, which will continue into the foreseeable future. As organic growth continues to decline, brokers are turning to acquisitions as the primary driving force for growth. With the median organic growth rate sliding down from 12.5 percent in first-quarter 2003 to roughly 6 percent in more recent quarters, the need for leading brokers to demonstrate growth through acquisition is intensifying.

Covered in this information rich presentation are the five critical dynamics that are shaping consolidation:

1. Industry Rate Changes
2. Slowing Organic Growth Among Acquirers
3. Capital Markets
4. Influence of Banks
5. Capital Gains Rates

According to Lieblein, "This is a unique opportunity for acquirers and sellers to gain valuable insights into the current state of agency consolidation. Our presentation centers around critical dynamics that will shape consolidation for the next year, who the acquirers are, purchase prices being paid, as well as steps to the transaction process."

Wevodau stated, "We have decided to share proprietary insights into many of the underlying developments that are currently impacting the industry. This slide presentation allows agents and brokers to grasp many of the elements that are considered when buying or selling an agency; as well as understanding the agency valuation process."

The presentation is being made available in a hard copy slide presentation or PowerPoint CD. The cost of the presentation is $49.95 and is available only for a limited time. The content can be purchased at WFG's website or by calling 717-780-7800.

WFG professionals also provide follow up consulting on the contents as well as conducting proprietary seminars. For more information, please visit www.wfgca.com or contact Paul Feldman, Director of Communications at [email protected].

About WFG Capital Advisors:
WFG Capital Advisors, based in Harrisburg, Pennsylvania, is a leading investment banking and financial advisory firm for the insurance industry.