10 Best Insurance Stocks for the Long Term

3. Arthur J. Gallagher & Co. (NYSE:AJG)

Number of Hedge Fund Holders: 44

10-Year Revenue Growth Rate: 9.72%

Arthur J. Gallagher & Co. (NYSE:AJG) ranks third on our list of the best insurance stocks to buy for the long term. The insurance company is based in the United States and provides insurance brokerage and risk management services. The company serves the aerospace, automotive, construction, energy, entertainment, and healthcare industries, among others. Over the past 10 years, the company has grown its revenue by nearly 10%, emphasizing its stable position in the industry.

2025 has only begun and Arthur J. Gallagher & Co. (NYSE:AJG) has executed key strategic decisions over the past two weeks. On January 6, the company acquired Encore Group, a retail insurance brokerage firm serving commercial clients in Canada. Similarly, on January 10, AJG acquired Wealth Management Partners Pty Ltd, a financial planning firm based in Western Australia. The two major transactions will help AJG expand its offerings and coverage across the globe, promising long-term growth for the firm.

On January 10, Andrew Kligerman, analyst at TD Cowen, raised AJG’s rating from hold to buy, setting a price target of $377, up from $295. The decision was based on the firm’s acquisition of AssuredPartners for $13.4 billion. Investors are positive about the company’s growth potential, given its key strategic decisions in play.