Business Valuation Calculator
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Insurance Agency Valuation Calculator

Insurance agency buyers care about recurring commissions, renewal retention, carrier relationships, producer dependency, book quality, and cross-sell potential.

Key inputs

Commissions, renewal mix, retention, producer dependency.

Custom model

Insurance Agency

Starting range

2x-4x revenue

Insurance agency valuation inputs

Recurring commission multiple with retention and producer-risk adjustments

Agency financials

$
$

Optional profit check after normalizing owner or one-time expenses.

%

Book quality

%
%
%

Liabilities

$
Estimated Business Value
Valuation Estimate
$•••,•••
Calculate a valuation to see!
ConservativeModerateOptimistic

This valuation is an estimate based on industry multiples and the information provided. Actual business valuations may vary based on numerous factors.

How to value an insurance agency

Agencies are often screened from recurring revenue, then validated with owner earnings or operating earnings. Strong renewal books and low producer dependency usually support better multiples.

Calculator inputs

Use annual commission and fee revenue as revenue. Add normalized profit and producer/owner add-backs so the estimate can be compared against both revenue and owner-earnings methods.

Example estimate

An agency with $750K in recurring commission revenue and strong retention may screen on revenue first, then be adjusted for producer concentration and profitability.

What affects insurance agency valuation?

Renewal commission durability and client retention.

Carrier mix, loss ratios, and appointment quality.

Producer dependency, staff continuity, and owner involvement.

Commercial versus personal lines mix and customer concentration.

Insurance Agency valuation FAQ

Why use revenue for an insurance agency valuation?

Recurring commissions can be highly transferable, so buyers often screen agencies from revenue before checking cash flow.

What agency revenue should I enter?

Use annual commissions and fees, ideally separating recurring renewal revenue from one-time or contingency income.

What improves agency value?

High retention, diversified producers, strong carrier relationships, clean books, and low client concentration can increase buyer confidence.

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