Australian Insurance Brokers: Organic Growth Supported by Higher Premiums and Interest Rates

Australia’s three largest independent insurance broker networks, Steadfast, AUB Group, and PSI Insurance have all guided to continued profit growth in fiscal 2024. Steadfast reaffirmed its outlook at the annual general meeting today. Taking the midpoint for profit growth guidance, AUB Group is the strongest at 23%, followed by Steadfast at 14%, and PSI Insurance at 7%. AUB Group is benefiting from earnings accretion from Tysers and other small acquisitions, and Steadfast is similarly acquiring growth with increased ownership of brokers already operating within its network. Our forecasts are at the top end of guidance.