Insurance Agencies and Brokerages — Market Size & Saturation
There are 158,383 insurance agencies and brokerages establishments in the United States — that's 47.8 businesses per 100,000 people.
Is Insurance Agencies and Brokerages Oversaturated?
With 47.8 businesses per 100,000 people, the insurance agencies and brokerages market has moderate competition. There are 158,383 establishments nationally — enough to indicate proven demand, but not so many that the market feels crowded.
This level of saturation often represents a sweet spot: the market is validated (customers exist and are spending), but there's still room for new entrants with differentiated offerings. Geographic pockets may be underserved.
Competition Dynamics
Entry and exit rates reveal how actively the competitive landscape is changing.
More businesses are closing (9.8%) than opening (8.9%) — the market is consolidating. Remaining players may benefit from reduced competition.
Should You Enter This Market?
Here's a summary of the competitive picture for insurance agencies and brokerages:
Market Size
158,383 establishments
Density
47.8 per 100K people
Avg Revenue/Business
$1.7M/year
Competition Level
Moderate Competition
There's room in this market for well-positioned newcomers. Focus on identifying underserved geographic areas or customer segments.
Frequently Asked Questions
- How many insurance agencies and brokerages businesses are in the US?
- There are 158,383 insurance agencies and brokerages establishments in the United States (114,626 unique firms). This translates to approximately 47.8 businesses per 100,000 people nationwide.
- Is the insurance agencies and brokerages market oversaturated?
- With 47.8 businesses per 100K people, the insurance agencies and brokerages market has moderate competition — not oversaturated, but not wide open either.
Sources: Bureau of Labor Statistics QCEW (2023), U.S. Census Bureau Business Dynamics Statistics. Population: 331,449,281 (2020 Census).