There were 4,217 insurance companies registered with the National Association of Insurance Commissioners (NAIC) during 2018, a slight increase from the 4,184 registered companies in 2017.
Filing audited financial statements is required unless a company receives an exemption; 146 of the 4,217 companies received such an exemption in 2018. Although most of the companies did not disclose the reason for their exemption, a few reasons that companies made note of include:
- An Organizational Hardship exemption
- An exemption because the company “has no outstanding risk under insurance policies and originated no business during 2018”
In addition, another 125 companies did not provide any auditor information and were therefore excluded from this analysis.
In 2018, there were 241 accounting firms that audited these 3,9461 insurance companies. Together, the Big Four covered almost 60% of this market. PwC led in terms of client count with 692 insurance clients, or 17.5%. EY, with 575 insurance clients (14.6%), had the second most. KPMG finished 2018 in a close third with 561 insurance clients (14.2%), gaining 9 more clients than in 2017. Remaining in the fourth spot, with 472 insurance clients (12.0%), was Deloitte. Of significant note, Deloitte gained 47 insurance clients in 2018, the most of any auditor.
Taking the number five spot, and leading the way for non-Big Four firms by a substantial margin, was Johnson Lambert. Rounding out the top ten were Crowe, BKD, RSM, BDO USA, and Plante & Moran.
More than 60% of these insurance companies classified themselves under Property & Casualty insurance. PwC audited the greatest number of Property & Casualty insurance companies in 2018, with 443 audits completed.
The remaining 40% of insurance companies classified themselves under one of five other categories: Fraternal, Health, Life Accident and Health, Other Risk-Bearing Entity, and Title.
Audit Analytics’ insurance database includes normalized financial, auditor, and demographical information from over 4,300 NAIC registered Insurers since 2010. Key data points include assets, revenue, and auditor of record.
For more information about our Insurance database, email us at info@auditanalytics.com or call (508) 476-7007.
1. This number was calculated by excluding those insurance companies with exemptions (146) as well as those that did not disclose auditor information (125).]↩