Buying A State Farm Book Of Business -

If you want a rough idea of how much your insurance agency is worth, take the earned commission and multiply it by 1 or 1.5 times. Higginbotham Should I Start A State Farm Agency In 2026?

Unlike independent agents who can sell their business on the open market, State Farm "books" are typically rather than sold in a traditional sense. buying a state farm book of business

: Some sources indicate that upon exit, State Farm pays out roughly 1x annual commission over 20 years. How to value an insurance agency | Higginbotham If you want a rough idea of how

: For a book alone, it is often 1.0x to 1.5x annual gross commission. : Some sources indicate that upon exit, State

: Standard agencies are often valued at 1.5x to 3x gross revenue.

While you aren't "buying" the title to the clients, you are often paying for the or the assets of an existing agency. Typical valuations in the insurance industry include: