Gallagher builds competitive edge with 500 deals over 30 years

In the United States, Gallagher, an insurance broker company, has been led by J Patrick Gallagher Jr for over three decades. Gallagher has transformed the company, initially founded by his grandfather Arthur J Gallagher in 1927, into a publicly traded entity while maintaining strong family ties within its workforce. The company is notable for employing over 56,000 individuals, yet the Gallagher family owns only about 1% of its shares. Despite its size, Gallagher emphasizes that it does not possess significant pricing power within the competitive insurance market. Gallagher asserts that their business strategy focuses on building partnerships rather than acquiring companies solely for expansion. Their goal is to build a 'moat around a castle,' separating Gallagher from the middle market and allowing them to leverage potent data analytics and global reach for their partners. This approach has led to the completion of 500 deals over the years, showcasing their commitment to growth and partnership within the industry, despite the general slowdown in mergers and acquisitions. Gallagher emphasizes the importance of their company culture, grounded in shared values that prioritize collaboration and loyalty among employees. He believes that culture is critical to a company's success and insists that the insurance industry plays an essential role in society, dispelling myths about its nature and the perceived greed of those involved.