@longterminvestor I'm in the insurance distribution space as well, but as an investor and partner. I agree with all of your posts. Great commentary!
@valueseek You asked if retail brokers have a more robust business model than wholesalers. I think they do. Whoever "owns" the client and is closer to them has a more robust business model, in my opinion. That being said, RYAN offers a compelling value prop to both insurance carriers (distribution & field U/W) as well as retail brokers. For small retail brokers, RYAN offers market access and ease of doing business. RYAN has more expertise than a small retail broker and can help them level-up with their clients. For the very largest retail brokers, I'm less certain of the value prop. RYAN may have access to certain unique programs with carriers.
My guess is that RYAN has more "premium under management" than the vast majority of retail brokers, as they are taking a smaller commission on a larger volume. So, RYAN's ability to aggregate risk in unique carrier programs is likely better than everyone outside of maybe the top 5 retail brokers.
Pat Ryan's thesis is essentially two-fold (which I happen to agree with): 1) E&S will continue to grow at a faster clip than the broader market; and 2) Retail brokers continue to want a consolidated wholesaler panel. On the 2nd point, Pat is saying that whereas in the past retail brokers may have worked with 3 or 4 wholesalers. They are starting to whittle that down to 1-2 wholesalers (likely, Amwins and RYAN).