Brown & Brown, Inc. (BRO) has added Shoemaker & Besser Associates, Inc. to its specialty distribution portfolio through a transaction announced on January 8 2026. The deal brings the York, Pennsylvania‑based managing general agent and wholesale brokerage’s specialty personal and niche business‑owner policy products into the Bridge Specialty Group umbrella, broadening the range of lines available to Brown & Brown’s retail broker network.
The acquisition aligns with Brown & Brown’s recent reorganization of its business segments, which consolidated Programs and Wholesale Brokerage into a new Specialty Distribution segment effective July 1 2025. By integrating Shoemaker & Besser’s expertise, the company aims to deepen market access for retail brokers and enhance cross‑sell opportunities across its high‑margin specialty lines. Management noted that the combination will strengthen the company’s Contract Binding and Light Brokerage business and provide agents with a broader product reach in both personal and commercial lines.
Brown & Brown’s Q3 2025 results underscored the strategic importance of the deal. Revenue rose 35.4% YoY to $1.6 billion, but the income‑before‑income‑taxes margin fell 630 basis points to 19.4%, highlighting margin pressure in the broader insurance market. The acquisition is expected to help offset this compression by adding higher‑margin niche products and leveraging the company’s existing distribution network to drive incremental revenue without proportionate cost increases.
Anurag Batta, president of Bridge Specialty Group, said the transaction “adds significant value to our retail broker partners by expanding the breadth of specialty products available to them.” Jack Brubaker and Allan Boyd, owners of Shoemaker & Besser, emphasized that the combination will “provide agents with a very broad market reach in both personal and commercial lines, enabling them to better serve their customers’ needs.”
While the fact‑check report does not disclose the purchase price, the strategic rationale is clear: the deal positions Brown & Brown to capture a larger share of the specialty insurance market, where it already enjoys high EBITDAC margins. By adding Shoemaker & Besser’s niche expertise, the company can accelerate growth in its most profitable segment and reinforce its competitive advantage over traditional retail brokerage peers.
The transaction is part of a broader M&A strategy that includes the June 2025 acquisition of Accession Risk Management Group for approximately $9.8 billion, further expanding the company’s specialty distribution footprint. Together, these moves signal Brown & Brown’s commitment to building a high‑margin, high‑growth specialty insurance business that can deliver superior returns to investors over the long term.
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