Arthur J Gallagher & Co. (AJG)

Arthur J. Gallagher & Co., together with its subsidiaries, provides insurance brokerage, and third-party claims settlement and administration services. It operates in three segments: Brokerage, Risk Management, and Financial Services. The Brokerage segment primarily consists of retail and wholesale brokerage operations. Its retail brokerage operations negotiate and place property/casualty (P/C), employer-provided health and welfare insurance, and retirement solutions for middle-market commercial, industrial, public entity, religious, and not-for-profit entities. This segment’s wholesale brokerage operations assist company’s brokers, and other unaffiliated brokers and agents in the placement of specialized and hard to place insurance programs. It also acts as a brokerage wholesaler; and managing general agent or managing general underwriter distributing specialized insurance coverages for insurance carriers. The Risk Management segment provides contract claim settlement and administration services for enterprises that choose to self-insure some or all of their P/C coverages and for insurance companies that choose to outsource some or all of their P/C claims departments. This segment also offers integrated disability management programs, information services, risk control consulting (loss control) services, and appraisal services. The Financial Services segment manages Gallagher’s interests in tax-advantaged and clean-energy investments, as well as its equity ownership position in an alternative investment fund manager that has ownership interests in private investment management firms. It has operations in the United States, Australia, Bermuda, Canada, and the United Kingdom. The company was founded in 1927 and is based in Itasca, Illinois.

For the nine months ended 30 September 2006, Arthur J. Gallagher & Co.'s revenues rose 1% to $1.12M. Net income from continuing operations totaled $103.9M, up from $21.1M. Revenues reflect increase in contribution from Brokerage and Risk Management segments. Net income also reflects the absence of litigation expenses and retail contingent commission related matters, expenses. Arthur J. Gallagher & Co. provides risk management services.