Business was stronger last year for Orange County’s largest insurance brokers, who collectively saw double-digit increases in revenue and employment.
The top 22 brokerage firms here reported 13% growth in revenue during the 12 months through December for a total of $472.6 million.
That’s an overall gain of $54.6 million, according to this week’s Business Journal list, which ranks companies according to revenue.
Last year’s sales growth follows a 2.7% uptick on last year’s list.
That was reflected on last year’s list published in October, which tracked revenue for the 12 months through June 2011. OC’s brokerage firms had seen revenue declines for two years prior to that.
Most of the companies on the list saw better business last year, with 15 firms reporting revenue increases. One firm saw sales stay flat, and four had declines. Figures for two companies were based on Business Journal estimates.
The firms marked an 18% increase in total employment to 2,098 jobs.
The sum combines the number of local property and casualty producers, benefits producers and support staff.
The listed brokers count 376 licensed property and casualty producers here, up 5% from a year earlier. They have hired 55 additional benefits producers over the past year for a total of 356, an 18% growth. OC brokerage firms now have 23% more support staff, totaling 1,366 workers.
Newport Beach-based Alliant Insurance Services Inc. remained at the top of the rankings with $54.5 million in revenue last year. It notched a 3% growth from a year earlier.
The firm now has 25 property and casualty producers, up 19%, and six benefits producers, unchanged from a year earlier. It has hired 31 new staff members over the year for a total of 177. It has cut the number of companywide offices to 49, from 60.
Alliant in January acquired the 401(k) arm of New York-based T&H Benefits, Thesco Retirement Planning Services on undisclosed terms. Any gains from the deal are not reflected in the sales total on this week’s list.
The Irvine office of Raleigh, N.C.-based BB&T Insurance Services climbed five spots this year to No. 2, after it acquired Irvine-based employee benefits consulting firm Precept Group in November as part of its expansion in California.
Precept was No. 6 and BB&T No. 7 on last year’s list. BB&T reported $52 million in revenue, more than double the $24.5 million prior to the acquisition.
The buy increased the number of BB&T’s benefits producers in OC by fivefold, to 31.
The Precept office continues to operate its existing services under the same name.
The local office of No. 5 USI Insurance Services LLC had the largest percentage increase in revenue, jumping 148% last year to $29.8 million. The gains came on overall growth in the company’s various segments, including core insurance services and employee communications, according to Thom Lewis, regional chief executive of the Briarcliff Manor, N.Y.-based company.
No. 12 Colony West Financial Insurance Services in Orange marked a 5% increase in revenue, for a total of $14.3 million. The firm kept its payroll size unchanged with 14 property and casualty producers, seven benefits producers and 15 staff.
Gainer
Tustin-based Wood Gutmann & Bogart Insurance Brokers was No. 16. Last year’s revenue of $11.8 million reflected a 16% increase, which helped push the company’s ranking up by two spots.
Wood Gutmann hired nine workers across the board over the past year, and has 73 employees.
No. 18 Burnham Benefits Insurances Services in Irvine posted a 19% revenue growth in 2011 to $11.1 million. Burnham was new to the list last year, when the company saw a 27% jump in revenue between June 2010 and June 2011.
“The complexity with the healthcare reform has actually created a lot of opportunities for us to assist our clients,” said Kristen Allison, president at Burnham Benefits. “There’s so much information moving all the time, especially since the reform has been implemented since 2010. We actually invested in a healthcare reform specialist.”
The company, which engages exclusively in employee benefits, has seen revenue growth thanks in part to many clients hiring more workers.
“There are industries that are growing back, putting more employees on payroll,” Allison said. “I think that has to do with some of the increase for the brokerage firms. There’s been a lot of growth in the construction and technology industries.”
The handful of companies that saw revenue decreases last year included No. 7 Aon Risk Solutions in Newport Beach. The Chicago-based company’s sales fell by 7% to $26.9 million.
The Irvine office of London-based Willis Group Holdings PLC had a 1% slip in sales to $21.3 million. It stayed at No. 10 and kept employee numbers flat from a year ago at 80.
List Newcomer
The Aliso Viejo office of San Diego-based Barney & Barney LLC is new to the list. The local office saw a 24% increase last year to $12.2 million, good for No. 14 on the list.
The company, which primarily serves midsize businesses, has seen growth in the life science and technology industries in particular, according to Trindl Reeves, principal and chief sales officer.
“We have a couple of guys focusing on retail and apparel, too,” Reeves said. “Those areas have been driving the growth. We’re seeing an even larger growth so far this year than last year. Also in the commercial group in our company, which has more than 100 producers, six of the top 10 producers are from the OC office.”
Barney & Barney added one property and casualty producer and 13 staff members over the year.
