AJ Gallagher cut ties to sanctioned Russian clients, vows minimal impact

Global insurance broker  Arthur J Gallagher has been forced to cut ties with unspecified sanctioned Russian clients, but estimates minimal revenues are at risk, CEO Patrick Gallagher (pictured) said.

"We have a very small number of clients subject to sanctions," Gallagher said. "We have suspended those relationship and have robust procedures in place to ensure we are in compliance."

The company's early estimate is that "less than $10 million in revenue is subject to risk."

That exposure is "almost all from London specialty and reinsurance operations," the group's chief of global P&C, Tom Gallagher, added.

The greater impact at Gallagher will likely be an indirect impact from the macroeconomic consequences of the Russian invasion of the Ukraine.

"We currently see that as minimal as well," CEO Patrick Gallagher said. "Accordingly, we have not significantly altered our near-term growth outlook or EBITDAC outlook."

Did you get value from this story?  Sign up to our free daily newsletters and get stories like this sent straight to your inbox.