CEO says talent war driven by Howden has cost Brown & Brown $23M in revenue

The impact of the talent war driven by Howden on Brown & Brown has been significant, with the company losing $23 million in revenue as a result of approximately 275 former employees joining the startup. This loss was confirmed by J. Powell Brown, the president and CEO of Brown & Brown, during an analysts’ call to discuss the broker’s financial results for the 2025 fourth quarter and full year.

Brown highlighted that most of the former employees who left were not producers but were primarily involved in the employee benefits sector. Howden’s entry into the U.S. market sparked legal actions from various brokers, including Alliant, Aon, Marsh, and Willis Towers Watson, who all filed lawsuits against Howden for allegedly poaching their employees.

During the call, Brown refrained from mentioning Howden by name, referring to them only as “the start-up.” He emphasized that while competition is essential for growth and development, integrity, honesty, loyalty, and trust are also vital in business interactions. Brown criticized what he perceived as a coordinated effort by Howden to recruit entire teams from competitors, taking valuable information and customers in the process.

Despite the loss of revenue due to the talent war, Brown emphasized the company’s strong financial performance for the year. He credited the growth in revenue by 23% to a combination of mergers and acquisitions, organic growth, and increased contingent commissions. Additionally, the acquisition of Accession Risk Management, the broker’s largest-ever deal, was a significant highlight. In total, Brown & Brown added approximately $1.8 billion in annual revenue from 43 acquisitions throughout the year.

For the fourth quarter of 2025, the company reported total revenues of $1.6 billion, representing a 35.7% increase compared to the same period the previous year. However, organic revenue experienced a 2.8% decline, primarily attributed to flood claims processing revenue recognized in the previous year’s fourth quarter. Despite this drop, net income for the quarter increased by 25.7% compared to the previous year.

Looking at the full year, Brown & Brown reported total revenue of $5.9 billion, marking a 22.8% increase compared to 2024. Organic revenue was also up by 2.8%, with net income for the year reaching $1.1 billion, a 6.1% increase from the previous year.

Despite the challenges posed by the talent war and the losses incurred, Brown & Brown remains optimistic about its future growth and development. The company’s continued focus on strategic acquisitions and strong financial performance bodes well for its long-term success in the industry.