Arthur J. Gallagher & Co. announced that its US wholesale division, Risk Placement Services, Inc. (RPS), has acquired Litchfield Special Risks, Inc. (LSR), a wholesale insurance broker and managing general agency based in El Paso, Texas. Financial terms of the transaction were not disclosed.
LSR specializes in transportation and property and casualty (P&C) solutions, working with retail agents across Texas and the broader Southwest region.
The firm will continue operating from its current location, with Bill Brenton and his team reporting to Ash Thomas, vice president for RPS’s Western Region.
J. Patrick Gallagher Jr., chairman and CEO of Gallagher, said the firm’s established presence and subject matter knowledge as a complement to RPS’s regional strategy.
Outside of this latest deal, Gallagher has significantly expanded its footprint in Texas through a series of strategic acquisitions and partnerships, enhancing its service offerings across the state.
The company maintains a strong presence in the state through multiple office locations, including cities such as Houston, Dallas, Austin, and San Antonio.
In December, Gallagher acquired Howe Insurance Group LLC, operating as DMc Insurance Partners, a personal lines-focused insurance agency based in Austin. This acquisition bolstered Gallagher's capabilities in serving individuals and small business owners within the Austin market.
In 2023, the brokerage also swooped for both CBS Insurance, LLP, and Boley-Featherston Insurance, headquartered in Abilene and Wichita Falls, respectively.
Beyond acquisitions, Gallagher also highlighted strong financials for the prior year. In Q4 2024, the company reported a profit of $258.2 million, or $1.12 per share, a significant turnaround from a loss of $39.6 million, or 15 cents per share, in the same quarter of the previous year.
Total revenue for the quarter rose nearly 12% to $2.72 billion, with a notable 13% increase in commissions.
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