2023 was a fairly gloomy year for global M&A activity and
the insurance sector did not emerge unscathed, recording its lowest
deals count since 20201. The good news, however, is that
insurance M&A activity appears poised for a rebound in 2024 in
light of an apparent stabilisation of global interest rates, lower
levels of inflation, and a perceived correction in previously
overinflated market valuations. Pent-up demand is expected to
result in insurance companies and other industry participants
focusing on strategic acquisitions although, with borrowing costs
forecast to remain relatively high, many are predicting that this
cohort will be primarily focused on "mid-size"
transactions rather than mega-deals.
