Bob Graham, Executive Editor

Within hours of the news of the Willis Group’s planned acquisition of competitor Hilb Rogal & Hobbs for $2.1 billion, a number of agents attending the Professional Insurance Agents of New Jersey and New York Annual Conference in Atlantic City, N.J., began raising questions. Here are some that caught my ear:

• Was Willis aware of all of HRH’s agency acquisitions in recent years? Why would Willis “buy into the foolishness,” as one agent put it?
• What’s the benefit of Willis and HRH joining forces, when Aon Corp. will still be the biggest player in the game?
• What’s going to happen to me and when? Have you heard if they are cutting people? Was it in the announcement? Have you heard anything privately?
• Are any companies, even the big ones, safe from acquisition?

The answer to the first three questions remains to be seen, while the answer to the last one is clear. Further consolidation isn’t just likely, it all but mandatory, as insurance companies continue to seek new ways to cut costs and generate revenue. And no company, big or small, is immune.