Who owns Australia’s underwriting agencies after a year of deals

Aon issued US$13.5 billion in senior notes, with proceeds to repay debt from the USI Insurance Services acquisition. The company aims to deleverage to a 2.8:1-3.0:1 ratio within two years. Notes are divided into seven tranches, with coupons ranging from 5.350% to 6.450%. Fitch rated the notes BBB+ with a negative watch, while S&P affirmed Aon's A- rating but downgraded its outlook to negative.

JPMorgan reduced its price target for Aon from $412 to $362 but maintained an overweight rating. Aon's stock closed at $276.77, down 21.57% year-to-date. Jefferies also adjusted its target to $383 from $387, keeping a buy rating.

Aon plc launched the Power Lifecycle Program, an insurance solution for gas power projects, offering up to $2.5B per project for construction and operations. The program covers risks like natural catastrophes and cyber threats. Aon also introduced the Global Onshore Renewables Facility for clean-energy projects. AON shares have fallen 21.8% year-to-date, underperforming the industry. The company has a Zacks Rank #3 (Hold).

Insurance brokerage consolidation may reduce reliance on wholesalers, but 55% of Insurance Business America readers expect wholesalers to retain a significant role. Aon's $17B acquisition of USI and Marsh McLennan's $7.75B deal with McGriff are recent examples. Analysts suggest large brokers will selectively internalize some wholesale operations, but wholesalers will still play a key role in complex risks and niche markets.

The U.S. Department of Labor's OFCCP finalized rules in August 2026 reducing affirmative action requirements for federal contractors, eliminating race/sex-based programs and disability utilization goals. The DOJ settled with a consulting firm for $21.5M over alleged discrimination, signaling stricter enforcement. Companies are shifting DEI strategies to focus on anti-discrimination and inclusion without demographic targets. Aon (NYSE: AON) advises on navigating these changes.

Aon plc and subsidiaries secured $4B in term loans and a $3B revolving credit facility from Citibank. The loans will help fund the acquisition of USI Advantage Corp. The term loans have maturities of 2028 and 2029, while the revolving credit facility matures in 2031, with optional extensions. Both agreements include financial covenants related to debt and EBITDA ratios.