ARTHUR J. GALLAGHER & CO., 10-Q filed on 10/29/2021
Quarterly Report
v3.21.2
Cover Page
 9 Months Ended
Sep. 30, 2021
shares
Cover [Abstract]  
Document Type 10-Q
Amendment Flag false
Document Fiscal Year Focus 2021
Document Period End Date Sep. 30, 2021
Document Fiscal Period Focus Q3
Entity Interactive Data Current Yes
Entity Central Index Key 0000354190
Current Fiscal Year End Date --12-31
Entity Registrant Name ARTHUR J. GALLAGHER & CO.
Entity File Number 1-09761
Document Transition Report false
Entity Tax Identification Number 36-2151613
Entity Incorporation, State or Country Code DE
Entity Current Reporting Status Yes
Entity Filer Category Large Accelerated Filer
Entity Small Business false
Entity Emerging Growth Company false
Entity Address, Address Line One 2850 Golf Road
Entity Address, City or Town Rolling Meadows
Entity Address, State or Province IL
Entity Address, Postal Zip Code 60008
City Area Code 630
Local Phone Number 773-3800
Entity Shell Company false
Trading Symbol AJG
Security Exchange Name NYSE
Title of 12(b) Security Common Stock, par value $1.00 per share
Entity Common Stock, Shares Outstanding 207,278,000
Document Quarterly Report true
v3.21.2
Consolidated Statement of Earnings - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Sep. 30, 2021
Sep. 30, 2020
Revenues before reimbursements $ 2,105.6 $ 1,807.5 $ 6,135.0 $ 5,188.3
Reimbursements 32.6 41.6 101.7 111.7
Total revenues 2,138.2 1,849.1 6,236.7 5,300.0
Compensation 1,000.5 873.5 2,913.2 2,585.3
Operating 265.6 203.2 752.1 675.7
Reimbursements 32.6 41.6 101.7 111.7
Cost of revenues from clean coal activities 366.1 319.2 944.0 665.8
Interest 60.3 48.1 164.6 148.6
Loss on extinguishment of debt 16.2   16.2  
Depreciation 38.4 36.5 113.7 107.7
Amortization 92.9 97.4 306.1 321.2
Change in estimated acquisition earnout payables 34.2 20.1 63.0 (53.2)
Total expenses 1,906.8 1,639.6 5,374.6 4,562.8
Earnings before income taxes 231.4 209.5 862.1 737.2
Provision (benefit) for income taxes (7.2) 21.7 28.0 32.2
Net earnings 238.6 187.8 834.1 705.0
Net earnings attributable to noncontrolling interests 13.5 11.2 36.7 28.4
Net earnings attributable to controlling interests $ 225.1 $ 176.6 $ 797.4 $ 676.6
Basic net earnings per share $ 1.09 $ 0.92 $ 3.97 $ 3.55
Diluted net earnings per share 1.06 0.90 3.88 3.48
Dividends declared per common share $ 0.48 $ 0.45 $ 1.44 $ 1.35
Commissions [Member]        
Revenues before reimbursements $ 1,016.2 $ 889.9 $ 3,118.7 $ 2,734.6
Broker Fees [Member]        
Revenues before reimbursements 601.7 495.8 1,696.4 1,462.8
Supplemental Revenue [Member]        
Revenues before reimbursements 61.0 54.7 183.0 164.0
Contingent Revenue [Member]        
Revenues before reimbursements 43.7 34.5 150.3 117.0
Investment Income [Member]        
Revenues before reimbursements 20.8 19.0 56.0 53.6
Net Gains on Divestitures [Member]        
Revenues before reimbursements 4.3 3.4 9.0 4.6
Clean Coal Activities [Member]        
Revenues before reimbursements 357.6 310.8 919.2 652.1
Other Net Revenue (Losses) [Member]        
Revenues before reimbursements $ 0.3 $ (0.6) $ 2.4 $ (0.4)
v3.21.2
Consolidated Statement of Comprehensive Earnings - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Sep. 30, 2021
Sep. 30, 2020
Statement Of Income And Comprehensive Income [Abstract]        
Net earnings $ 238.6 $ 187.8 $ 834.1 $ 705.0
Change in pension liability, net of taxes 0.6 0.4 1.7 1.6
Foreign currency translation, net of taxes (98.1) 101.9 (9.7) (28.7)
Change in fair value of derivative investments, net of taxes 4.8 9.5 28.4 (83.7)
Comprehensive earnings 145.9 299.6 854.5 594.2
Comprehensive earnings attributable to noncontrolling interests 13.8 11.7 37.3 29.3
Comprehensive earnings attributable to controlling interests $ 132.1 $ 287.9 $ 817.2 $ 564.9
v3.21.2
Consolidated Balance Sheet - USD ($)
$ in Millions
Sep. 30, 2021
Dec. 31, 2020
Statement Of Financial Position [Abstract]    
Cash and cash equivalents $ 2,735.1 $ 664.6
Restricted cash 3,277.2 2,909.7
Premiums and fees receivable 7,756.5 6,436.0
Other current assets 1,369.5 1,113.9
Total current assets 15,138.3 11,124.2
Fixed assets - net 454.5 450.7
Deferred income taxes 1,171.4 1,085.8
Other noncurrent assets 854.8 769.9
Right-of-use assets 330.3 373.9
Goodwill 6,627.5 6,127.0
Amortizable intangible assets - net 2,339.0 2,399.9
Total assets 26,915.8 22,331.4
Premiums payable to underwriting enterprises 9,161.7 7,784.6
Accrued compensation and other current liabilities 1,536.9 1,596.2
Deferred revenue - current 527.1 475.6
Premium financing debt 234.1 203.6
Corporate related borrowings - current 200.0 75.0
Total current liabilities 11,659.8 10,135.0
Corporate related borrowings - noncurrent 5,072.4 4,266.0
Deferred revenue - noncurrent 61.1 65.7
Lease liabilities - noncurrent 281.4 320.9
Other noncurrent liabilities 1,371.0 1,311.1
Total liabilities 18,445.7 16,098.7
Stockholders' equity:    
Common stock - issued and outstanding 207.3 shares in 2021 and 193.7 shares in 2020 207.3 193.7
Capital in excess of par value 5,962.3 4,264.4
Retained earnings 2,873.8 2,371.7
Accumulated other comprehensive loss (623.2) (643.6)
Stockholders' equity attributable to controlling interests 8,420.2 6,186.2
Stockholders' equity attributable to noncontrolling interests 49.9 46.5
Total stockholders' equity 8,470.1 6,232.7
Total liabilities and stockholders' equity $ 26,915.8 $ 22,331.4
v3.21.2
Consolidated Balance Sheet (Parenthetical) - shares
shares in Millions
Sep. 30, 2021
Dec. 31, 2020
Statement Of Financial Position [Abstract]    
Common stock - issued shares 207.3 193.7
Common stock - outstanding shares 207.3 193.7
v3.21.2
Consolidated Statement of Cash Flows - USD ($)
$ in Millions
 9 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Cash flows from operating activities:    
Net earnings $ 834.1 $ 705.0
Adjustments to reconcile net earnings to net cash provided by operating activities:    
Net gain on investments and other (10.2) (4.1)
Loss on extinguishment of debt 9.7  
Depreciation and amortization 419.8 428.9
Change in estimated acquisition earnout payables 63.0 (53.2)
Amortization of deferred compensation and restricted stock 48.9 45.1
Stock-based and other noncash compensation expense 9.1 10.1
Payments on acquisition earnouts in excess of original estimates (29.3) (14.5)
Effect of changes in foreign exchange rates 3.7 (3.0)
Net change in premiums and fees receivable (1,129.7) (1,297.9)
Net change in deferred revenue 36.2 24.9
Net change in premiums payable to underwriting enterprises 1,176.7 1,596.0
Net change in other current assets (142.7) (24.5)
Net change in accrued compensation and other current liabilities 56.3 (6.4)
Net change in income taxes payable (106.8) 61.8
Net change in deferred income taxes (107.3) (129.9)
Net change in other noncurrent assets and liabilities 9.7 49.3
Net cash provided by operating activities 1,141.2 1,387.6
Cash flows from investing activities:    
Capital expenditures (103.2) (79.5)
Cash paid for acquisitions, net of cash and restricted cash acquired (631.6) (91.3)
Net proceeds from sales of operations/books of business 14.3 9.0
Net funding of investment transactions (1.2) (1.0)
Net cash used by investing activities (721.7) (162.8)
Cash flows from financing activities:    
Payments on acquisition earnouts (130.8) (32.6)
Proceeds from issuance of common stock 1,524.6 83.6
Payments to noncontrolling interests (28.7) (76.4)
Dividends paid (292.2) (260.1)
Net borrowings on premium financing debt facility 40.3 16.9
Borrowings on line of credit facility 925.0 2,630.0
Repayments on line of credit facility (925.0) (3,150.0)
Borrowings of corporate related long-term debt 1,667.6 575.0
Repayments of corporate related long-term debt (733.0) (100.4)
Debt acquisition costs (14.3) (1.3)
Settlements on terminated interest rate swaps (31.9) (65.9)
Net cash provided (used) by financing activities 2,001.6 (381.2)
Effect of changes in foreign exchange rates on cash and cash equivalents and restricted cash 16.9 7.3
Net increase in cash, cash equivalents and restricted cash 2,438.0 850.9
Cash, cash equivalents and restricted cash at beginning of period 3,574.3 2,623.9
Cash, cash equivalents and restricted cash at end of period $ 6,012.3 $ 3,474.8
v3.21.2
Consolidated Statement of Stockholders' Equity - USD ($)
shares in Millions, $ in Millions
Total
Common Stock [Member]
Capital in Excess of Par Value [Member]
Retained Earnings [Member]
Accumulated Other Comprehensive Loss [Member]
Noncontrolling Interests [Member]
Beginning balance at Dec. 31, 2019 $ 5,215.5 $ 188.1 $ 3,825.7 $ 1,901.3 $ (759.6) $ 60.0
Beginning balance (in shares) at Dec. 31, 2019   188.1        
Net earnings 355.4     346.3   9.1
Net purchase of subsidiary shares from noncontrolling interests (10.8)         (10.8)
Dividends paid to noncontrolling interests (18.9)         (18.9)
Net change in pension asset/liability, net of taxes 1.2       1.2  
Foreign currency translation (380.1)       (381.3) 1.2
Change in fair value of derivative instruments, net of taxes (91.4)       (91.4)  
Compensation expense related to stock option plan grants 3.4   3.4      
Common stock issued in: purchase transactions 73.1 $ 0.7 72.4      
Common stock issued in: purchase transactions (in shares)   0.7        
Stock option plans 17.9 $ 0.4 17.5      
Stock option plans (in shares)   0.4        
Employee stock purchase plan 6.0 $ 0.1 5.9      
Employee stock purchase plan (in shares)   0.1        
Deferred compensation and restricted stock (15.0) $ 0.3 (15.3)      
Deferred compensation and restricted (in shares)   0.3        
Cash dividends declared on common stock (86.2)     (86.2)    
Ending balance at Mar. 31, 2020 5,070.1 $ 189.6 3,909.6 2,161.4 (1,231.1) 40.6
Ending balance, (in shares) at Mar. 31, 2020   189.6        
Beginning balance at Dec. 31, 2019 5,215.5 $ 188.1 3,825.7 1,901.3 (759.6) 60.0
Beginning balance (in shares) at Dec. 31, 2019   188.1        
Net earnings 705.0          
Net change in pension asset/liability, net of taxes 1.6          
Change in fair value of derivative instruments, net of taxes (83.7)          
Compensation expense related to stock option plan grants 10.1          
Ending balance at Sep. 30, 2020 5,818.2 $ 192.3 4,132.5 2,317.3 (870.4) 46.5
Ending balance, (in shares) at Sep. 30, 2020   192.3        
Beginning balance at Mar. 31, 2020 5,070.1 $ 189.6 3,909.6 2,161.4 (1,231.1) 40.6
Beginning balance (in shares) at Mar. 31, 2020   189.6        
Net earnings 161.8     153.7   8.1
Net purchase of subsidiary shares from noncontrolling interests 4.3         4.3
Dividends paid to noncontrolling interests (6.3)         (6.3)
Foreign currency translation 249.9       250.7 (0.8)
Change in fair value of derivative instruments, net of taxes (1.8)       (1.8)  
Compensation expense related to stock option plan grants 3.3   3.3      
Common stock issued in: purchase transactions 110.9 $ 1.2 109.7      
Common stock issued in: purchase transactions (in shares)   1.2        
Stock option plans 21.9 $ 0.5 21.4      
Stock option plans (in shares)   0.5        
Employee stock purchase plan 12.4 $ 0.1 12.3      
Employee stock purchase plan (in shares)   0.1        
Deferred compensation and restricted stock (5.2) $ 0.1 (5.3)      
Deferred compensation and restricted (in shares)   0.1        
Cash dividends declared on common stock (86.8)     (86.8)    
Ending balance at Jun. 30, 2020 5,534.5 $ 191.5 4,051.0 2,228.3 (982.2) 45.9
Ending balance, (in shares) at Jun. 30, 2020   191.5        
Net earnings 187.8     176.6   11.2
Net purchase of subsidiary shares from noncontrolling interests (0.8)         (0.8)
Dividends paid to noncontrolling interests (10.3)         (10.3)
Net change in pension asset/liability, net of taxes 0.4       0.4  
Foreign currency translation 102.4       101.9 0.5
Change in fair value of derivative instruments, net of taxes 9.5       9.5  
Compensation expense related to stock option plan grants 3.4   3.4      
Common stock issued in: purchase transactions 39.0 $ 0.4 38.6      
Common stock issued in: purchase transactions (in shares)   0.4        
Stock option plans 17.2 $ 0.3 16.9      
Stock option plans (in shares)   0.3        
Employee stock purchase plan 8.1 $ 0.1 8.0      
Employee stock purchase plan (in shares)   0.1        
Deferred compensation and restricted stock 14.6   14.6      
Cash dividends declared on common stock (87.6)     (87.6)    
Ending balance at Sep. 30, 2020 5,818.2 $ 192.3 4,132.5 2,317.3 (870.4) 46.5
Ending balance, (in shares) at Sep. 30, 2020   192.3        
Beginning balance at Dec. 31, 2020 $ 6,232.7 $ 193.7 4,264.4 2,371.7 (643.6) 46.5
Beginning balance (in shares) at Dec. 31, 2020 193.7 193.7        
Net earnings $ 393.7     382.1   11.6
Dividends paid to noncontrolling interests (10.3)         (10.3)
Net change in pension asset/liability, net of taxes 1.0       1.0  
Foreign currency translation 58.6       58.0 0.6
Change in fair value of derivative instruments, net of taxes 56.8       56.8  
Compensation expense related to stock option plan grants 3.7   3.7      
Common stock issued in: purchase transactions 67.5 $ 0.6 66.9      
Common stock issued in: purchase transactions (in shares)   0.6        
Stock option plans 30.2 $ 0.6 29.6      
Stock option plans (in shares)   0.6        
Employee stock purchase plan 7.0 $ 0.1 6.9      
Employee stock purchase plan (in shares)   0.1        
Shares issued to benefit plans 71.4 $ 0.6 70.8      
Shares issued to benefit plans (in shares)   0.6        
Deferred compensation and restricted stock (37.9) $ 0.3 (38.2)      
Deferred compensation and restricted (in shares)   0.3        
Cash dividends declared on common stock (94.9)     (94.9)    
Ending balance at Mar. 31, 2021 6,779.5 $ 195.9 4,404.1 2,658.9 (527.8) 48.4
Ending balance, (in shares) at Mar. 31, 2021   195.9        
Beginning balance at Dec. 31, 2020 $ 6,232.7 $ 193.7 4,264.4 2,371.7 (643.6) 46.5
Beginning balance (in shares) at Dec. 31, 2020 193.7 193.7        
Net earnings $ 834.1          
Net change in pension asset/liability, net of taxes 1.7          
Change in fair value of derivative instruments, net of taxes 28.4          
Compensation expense related to stock option plan grants $ 12.9          
Stock option plans (in shares) 1.1          
Ending balance at Sep. 30, 2021 $ 8,470.1 $ 207.3 5,962.3 2,873.8 (623.2) 49.9
Ending balance, (in shares) at Sep. 30, 2021 207.3 207.3        
Beginning balance at Mar. 31, 2021 $ 6,779.5 $ 195.9 4,404.1 2,658.9 (527.8) 48.4
Beginning balance (in shares) at Mar. 31, 2021   195.9        
Net earnings 201.8     190.2   11.6
Net purchase of subsidiary shares from noncontrolling interests (11.0)         (11.0)
Dividends paid to noncontrolling interests (7.4)         (7.4)
Net change in pension asset/liability, net of taxes 0.1       0.1  
Foreign currency translation 30.1       30.4 (0.3)
Change in fair value of derivative instruments, net of taxes (33.2)       (33.2)  
Compensation expense related to stock option plan grants 4.5   4.5      
Common stock issued in: purchase transactions 13.0 $ 0.1 12.9      
Common stock issued in: purchase transactions (in shares)   0.1        
Stock option plans 15.7 $ 0.3 15.4      
Stock option plans (in shares)   0.3        
Employee stock purchase plan 10.5 $ 0.1 10.4      
Employee stock purchase plan (in shares)   0.1        
Deferred compensation and restricted stock 12.2 $ 0.1 12.1      
Deferred compensation and restricted (in shares)   0.1        
Stock issuance from public offering 1,437.9 $ 10.3 1,427.6      
Stock issuance from public offering (in shares)   10.3        
Other compensation expense 0.3   0.3      
Cash dividends declared on common stock (100.0)     (100.0)    
Ending balance at Jun. 30, 2021 8,354.0 $ 206.8 5,887.3 2,749.1 (530.5) 41.3
Ending balance, (in shares) at Jun. 30, 2021   206.8        
Net earnings 238.6     225.1   13.5
Net purchase of subsidiary shares from noncontrolling interests 5.0         5.0
Dividends paid to noncontrolling interests (10.2)         (10.2)
Net change in pension asset/liability, net of taxes 0.6       0.6  
Foreign currency translation (97.8)       (98.1) 0.3
Change in fair value of derivative instruments, net of taxes 4.8       4.8  
Compensation expense related to stock option plan grants 4.7   4.7      
Common stock issued in: purchase transactions 35.1 $ 0.2 34.9      
Common stock issued in: purchase transactions (in shares)   0.2        
Stock option plans 7.7 $ 0.2 7.5      
Stock option plans (in shares)   0.2        
Employee stock purchase plan 14.8 $ 0.1 14.7      
Employee stock purchase plan (in shares)   0.1        
Deferred compensation and restricted stock 13.2   13.2      
Cash dividends declared on common stock (100.4)     (100.4)    
Ending balance at Sep. 30, 2021 $ 8,470.1 $ 207.3 $ 5,962.3 $ 2,873.8 $ (623.2) $ 49.9
Ending balance, (in shares) at Sep. 30, 2021 207.3 207.3        
v3.21.2
Consolidated Statement of Stockholders' Equity (Parenthetical) - USD ($)
$ in Millions
 3 Months Ended
Sep. 30, 2021
Jun. 30, 2021
Mar. 31, 2021
Sep. 30, 2020
Jun. 30, 2020
Mar. 31, 2020
Statement Of Stockholders Equity [Abstract]            
Tax effect on net change in pension asset/liability $ 0.1 $ 0.1 $ 0.2 $ 0.1   $ 0.3
Net change in fair value of derivative instruments, tax $ 1.8 $ (10.9) $ 19.0 $ 1.6 $ 0.0 $ (28.9)
v3.21.2
Summary of Significant Accounting Policies
 9 Months Ended
Sep. 30, 2021
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies

1.  Summary of Significant Accounting Policies

Terms Used in Notes to Consolidated Financial Statements

ASC - Accounting Standards Codification.

ASU - Accounting Standards Update.

FASB - The Financial Accounting Standards Board.

GAAP - U.S. generally accepted accounting principles.  

IRC - Internal Revenue Code.

IRS - Internal Revenue Service.

Underwriting enterprises - Insurance companies, reinsurance companies and various other forms of risk-taking entities, including intermediaries of underwriting enterprises.  

Nature of Operations and Basis of Presentation

Arthur J. Gallagher & Co. and its subsidiaries, collectively referred to herein as we, our, us or the company, provide insurance brokerage, consulting and third party claims settlement and administration services to both domestic and international entities. We have three reportable segments: brokerage, risk management and corporate.  Our brokers, agents and administrators act as intermediaries between underwriting enterprises and our clients.

Our brokerage segment operations provide brokerage and consulting services to companies and entities of all types, including commercial, not-for-profit, public entities, and, to a lesser extent, individuals, in the areas of insurance placement, risk of loss management, and management of employer sponsored benefit programs.  Our risk management segment operations provide contract claim settlement, claim administration, loss control services and risk management consulting for commercial, not-for-profit, captive and public entities, and various other organizations that choose to self-insure property/casualty coverages or choose to use a third‑party claims management organization rather than the claim services provided by underwriting enterprises.  The corporate segment reports the financial information related to our debt and other corporate costs, clean energy investments, external acquisition‑related expenses and the impact of foreign currency translation.  Clean energy investments consist of our investments in limited liability companies that own 35 commercial clean coal production facilities that can produce refined coal using Chem-Mod LLC’s proprietary technologies.  We believe these operations produce refined coal that qualifies for tax credits under IRC Section 45.  

We do not assume underwriting risk on a net basis, other than with respect to de minimis amounts necessary to provide minimum or regulatory capital to organize captives, pools, specialized underwriters or risk-retention groups.  Rather, capital necessary for covering losses is provided by underwriting enterprises.

Investment income and other revenues are primarily generated from our premium financing operations, our invested cash and restricted cash we hold on behalf of our clients, as well as clean energy investments.  In addition, our share of the net earnings related to partially owned entities that are accounted for using the equity method is included in investment income.

We are headquartered in Rolling Meadows, Illinois, have operations in 57 countries and offer client-service capabilities in more than 150 countries globally through a network of correspondent insurance brokers and consultants.

We have prepared the accompanying unaudited consolidated financial statements pursuant to the rules and regulations of the Securities and Exchange Commission.  Certain information and footnote disclosures normally included in annual financial statements have been omitted pursuant to such rules and regulations.  The unaudited consolidated financial statements included herein are, in the opinion of management, prepared on a basis consistent with our audited consolidated financial statements for the year ended December 31, 2020, and include all normal recurring adjustments necessary for a fair presentation of the information set forth.  The quarterly results of operations are not necessarily indicative of the results of operations to be reported for subsequent quarters or the full year.  These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and the notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2020.  In the preparation of our unaudited consolidated financial statements as of September 30, 2021, management evaluated all material subsequent events or transactions that occurred after the balance sheet date through the date on which the financial statements were issued, for potential recognition and/or disclosure therein.

Use of Estimates

The preparation of our consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes.  These accounting principles require us to make estimates and assumptions that affect the reported amounts of assets and liabilities and revenues and expenses, and the disclosure of contingent assets and liabilities at the date of our consolidated financial statements.  We periodically evaluate our estimates and assumptions, including those relating to the valuation of goodwill and other intangible assets, right-of-use assets, investments (including our IRC Section 45 investments), income taxes, revenue recognition, deferred costs, stock-based compensation, claims handling obligations, retirement plans, litigation and contingencies.  We base our estimates on historical experience and various assumptions that we believe to be reasonable based on specific circumstances.  Such estimates and assumptions could change in the future as more information becomes known, which could impact the amounts reported and disclosed in the notes herein.
v3.21.2
Effect of New Accounting Pronouncements
 9 Months Ended
Sep. 30, 2021
Accounting Changes And Error Corrections [Abstract]  
Effect of New Accounting Pronouncements

2.  Effect of New Accounting Pronouncements    

Simplifying the Accounting for Income Taxes

In December 2019, the FASB issued ASU 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes,” which is intended to simplify various aspects related to accounting for income taxes. ASU 2019-12 removes certain exceptions to the general principles in Topic 740 and also clarifies and amends existing guidance to improve consistent application.  The amendments in ASU 2019-12 are effective for public business entities for fiscal years beginning after December 15, 2020, including interim periods therein.  We adopted this new guidance effective January 1, 2021.  The adoption did not have any impact on our consolidated financial statements.
v3.21.2
Business Combinations
 9 Months Ended
Sep. 30, 2021
Business Combinations [Abstract]  
Business Combinations

3.  Business Combinations

During the nine-month period ended September 30, 2021, we acquired substantially all of the net assets of the following firms in exchange for our common stock and/or cash.  These acquisitions have been accounted for using the acquisition method for recording business combinations (in millions, except share data):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

 

Maximum

 

 

 

Common

 

 

Common

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Recorded

 

 

Recorded

 

 

Potential

 

Name and Effective

 

Shares

 

 

Share

 

 

 

 

 

 

Accrued

 

 

Escrow

 

 

Earnout

 

 

Purchase

 

 

Earnout

 

Date of Acquisition

 

Issued

 

 

Value

 

 

Cash Paid

 

 

Liability

 

 

Deposited

 

 

Payable

 

 

Price

 

 

Payable

 

 

 

(000s)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Atlas General Holdings, LLC

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

January 1, 2021 (AGH)

 

 

—

 

 

$

—

 

 

$

95.2

 

 

$

—

 

 

$

5.4

 

 

$

8.7

 

 

$

109.3

 

 

$

35.0

 

Bollington Wilson Group

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   February 5, 2021 (BWG)

 

 

—

 

 

 

—

 

 

 

328.0

 

 

 

—

 

 

 

1.4

 

 

 

—

 

 

 

329.4

 

 

 

—

 

LDJ American Online

   Benefits Group, LLC

      May 1, 2021 (LDJ)

 

 

—

 

 

 

—

 

 

 

38.2

 

 

 

—

 

 

 

7.1

 

 

 

14.8

 

 

 

60.1

 

 

 

20.0

 

Sixteen other acquisitions

   completed in 2021

 

 

337.0

 

 

 

44.4

 

 

 

157.3

 

 

 

13.1

 

 

 

18.9

 

 

 

34.1

 

 

 

267.8

 

 

 

70.2

 

 

 

 

337.0

 

 

$

44.4

 

 

$

618.7

 

 

$

13.1

 

 

$

32.8

 

 

$

57.6

 

 

$

766.6

 

 

$

125.2

 

 

On August 13, 2021, we announced an agreement to acquire the Willis Towers Watson plc treaty reinsurance brokerage operations for an initial gross consideration of $3.25 billion, and potential additional consideration of $750 million subject to certain third-year revenue targets.  We intend to finance the transaction using cash on hand, including the $1.4 billion of net cash raised via the May 17, 2021 follow‑on common stock offering and the $850 million of net cash borrowed via the May 20, 2021 30-year senior note issuance, short-term borrowings and/or capital market transactions.  

 

On May 20, 2021, we closed and funded an offering of $1,500.0 million of unsecured senior notes in two tranches.  The $650.0 million aggregate principal amount of 2.50% Senior Notes were due 2031 (which we refer to as the 2031 Notes) and the $850.0 million aggregate principal amount of 3.50% Senior Notes are due 2051 (which we refer to as the 2051 Notes).  The weighted average interest rate was 3.31% per annum after giving effect to underwriting costs and the net hedge loss.  Prior to the termination of our agreement to acquire certain Willis Towers Watson plc brokerage operations, our intent was to use the net proceeds of this offering to fund this transaction.  In conjunction with the termination of this agreement, on July 29, 2021, we exercised the special option redemption feature for the 2031 Senior Notes.  These notes were redeemed on August 13, 2021 which resulted in a loss on extinguishment of debt of $16.2 million (which is described in further detail in Note 7 below).  We now expect to use the net proceeds of this offering related to the 2051 Notes to fund a portion of the cash consideration payable in connection with the Willis Tower Watson plc treaty reinsurance transaction.

On May 17, 2021, we closed on a follow-on public offering of our common stock whereby 10.3 million shares of our stock were issued for net proceeds, after underwriting discounts and other expenses related to this offering, of $1,437.9 million.  Prior to the termination of our agreement to acquire certain Willis Towers Watson plc brokerage operations, our intent was to use the net proceeds of the offering to fund this acquisition.  We now intend to use the net proceeds of the offering to fund the acquisition of the Willis Towers Watson plc treaty reinsurance brokerage operations.

Common shares issued in connection with acquisitions are valued at closing market prices as of the effective date of the applicable acquisition or on the days when the shares are issued, if purchase consideration is deferred.  We record escrow deposits that are returned to us as a result of adjustments to net assets acquired as reductions of goodwill when the escrows are settled.  The maximum potential earnout payables disclosed in the foregoing table represent the maximum amount of additional consideration that could be paid pursuant to the terms of the purchase agreement for the applicable acquisition.  The amounts recorded as earnout payables, which are primarily based upon the estimated future operating results of the acquired entities over a two- to three-year period subsequent to the acquisition date, are measured at fair value as of the acquisition date and are included on that basis in the recorded purchase price consideration in the foregoing table.  We will record subsequent changes in these estimated earnout obligations, including the accretion of discount, in our consolidated statement of earnings when incurred.

The fair value of these earnout obligations is based on the present value of the expected future payments to be made to the sellers of the acquired entities in accordance with the provisions outlined in the respective purchase agreements, which is a Level 3 fair value measurement. In determining fair value, we estimated the acquired entity’s future performance using financial projections developed by management for the acquired entity and market participant assumptions that were derived for revenue growth and/or profitability. Revenue growth rates generally ranged from 2.5% to 15.0% for our 2021 acquisitions.  We estimated future payments using the earnout formula and performance targets specified in each purchase agreement and the financial projections just described. We then discounted these payments to present value using a risk-adjusted rate that takes into consideration market-based rates of return that reflect the ability of the acquired entity to achieve the targets. The discount rate was 7.0% to 10.5% for all of our 2021 acquisitions.  Changes in financial projections, market participant assumptions for revenue growth and/or profitability, or the risk-adjusted discount rate, would result in a change in the fair value of recorded earnout obligations.  

During the three-month periods ended September 30, 2021 and 2020, we recognized $8.2 million and $5.9 million, respectively, of expense in our consolidated statement of earnings related to the accretion of the discount recorded for earnout obligations in connection with our acquisitions.  During the nine-month periods ended September 30, 2021 and 2020, we recognized $26.4 million and $24.3  million, respectively, of expense in our consolidated statement of earnings related to the accretion of the discount recorded for earnout obligations in connection with our acquisitions.  In addition, during the three-month periods ended September 30, 2021 and 2020, we recognized $26.0 million and $14.2  million of expense, respectively, related to net adjustments in the estimated fair value of the liability for earnout obligations in connection with revised projections of future performance for 44  and 55 acquisitions, respectively. In addition, during the nine-month periods ended September 30, 2021 and 2020, we recognized $36.6  million of expense and $77.4  million of income, respectively, related to net adjustments in the estimated fair value of the liability for earnout obligations in connection with revised projections of future performance for 80 and 126 acquisitions, respectively. The aggregate amount of maximum earnout obligations related to acquisitions was $1,026.1 million as of September 30, 2021, of which $578.7 million was recorded in the consolidated balance sheet as of September 30, 2021, based on the estimated fair value of the expected future payments to be made, of which approximately $560.5  million can be settled in cash or stock at our option and $18.2  million must be settled in cash.  

The following is a summary of the estimated fair values of the net assets acquired at the date of each acquisition made in the nine‑month period ended September 30, 2021 (in millions):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sixteen Other

 

 

 

 

 

 

 

AGH

 

 

BWG

 

 

LDJ

 

 

Acquisitions

 

 

Total

 

Cash and restricted cash

 

$

32.8

 

 

$

24.9

 

 

$

0.7

 

 

$

11.0

 

 

$

69.4

 

Other current assets

 

 

112.0

 

 

 

15.3

 

 

 

15.8

 

 

 

51.5

 

 

 

194.6

 

Fixed assets

 

 

7.4

 

 

 

3.8

 

 

 

—

 

 

 

0.2

 

 

 

11.4

 

Noncurrent assets

 

 

1.2

 

 

 

5.3

 

 

 

0.2

 

 

 

6.2

 

 

 

12.9

 

Goodwill

 

 

45.9

 

 

 

257.1

 

 

 

25.7

 

 

 

124.8

 

 

 

453.5

 

Expiration lists

 

 

39.7

 

 

 

81.6

 

 

 

25.4

 

 

 

133.2

 

 

 

279.9

 

Non-compete agreements

 

 

0.3

 

 

 

1.2

 

 

 

0.2

 

 

 

2.1

 

 

 

3.8

 

Trade names

 

 

—

 

 

 

3.4

 

 

 

0.2

 

 

 

1.1

 

 

 

4.7

 

Total assets acquired

 

 

239.3

 

 

 

392.6

 

 

 

68.2

 

 

 

330.1

 

 

 

1,030.2

 

Current liabilities

 

 

129.8

 

 

 

39.6

 

 

 

8.0

 

 

 

49.9

 

 

 

227.3

 

Noncurrent liabilities

 

 

0.2

 

 

 

23.6

 

 

 

0.1

 

 

 

12.4

 

 

 

36.3

 

Total liabilities assumed

 

 

130.0

 

 

 

63.2

 

 

 

8.1

 

 

 

62.3

 

 

 

263.6

 

Total net assets acquired

 

$

109.3

 

 

$

329.4

 

 

$

60.1

 

 

$

267.8

 

 

$

766.6

 

 

Among other things, these acquisitions allow us to expand into desirable geographic locations, further extend our presence in the retail and wholesale insurance and reinsurance brokerage markets and in third party claims administration services and increase the volume of general services currently provided.  The excess of the purchase price over the estimated fair value of the tangible net assets acquired at the acquisition date was allocated to goodwill, expiration lists, non-compete agreements and trade names in the amounts of $453.5 million, $279.9 million, $3.8 million and $4.7 million, respectively, within the brokerage and risk management segments.

Provisional estimates of fair value are established at the time of each acquisition and are subsequently reviewed within the first year of operations subsequent to the acquisition date to determine the necessity for adjustments.  The fair value of the tangible assets and liabilities for each applicable acquisition at the acquisition date approximated their carrying values.  The fair value of expiration lists was established using the excess earnings method, which is an income approach based on estimated financial projections developed by management for each acquired entity using market participant assumptions.  Revenue growth and attrition rates generally ranged from 3.0% to 4.8% and 4.3% to 16.1%, respectively, for our 2020 and 2021 acquisitions for which valuations were performed in 2021.  We estimate the fair value as the present value of the benefits anticipated from ownership of the subject expiration list in excess of returns required on the investment in contributory assets necessary to realize those benefits.  The rate used to discount the net benefits was based on a risk-adjusted rate that takes into consideration market-based rates of return and reflects the risk of the asset relative to the acquired business.  These discount rates generally ranged from 9.0% to 17.0% for our 2020 and 2021 acquisitions for which valuations were performed in 2021.  The fair value of non-compete agreements was established using the profit differential method, which is an income approach based on estimated financial projections developed by management for the acquired company using market participant assumptions and various non-compete scenarios.

Expiration lists, non-compete agreements and trade names related to our acquisitions are amortized using the straight-line method over their estimated useful lives (two to fifteen years for expiration lists, two to six years for non-compete agreements and two to fifteen years for trade names), while goodwill is not subject to amortization.  We use the straight-line method to amortize these intangible assets because the pattern of their economic benefits cannot be reasonably determined with any certainty.  We review all of our identifiable intangible assets for impairment periodically (at least annually) and whenever events or changes in business circumstances indicate that the carrying value of the assets may not be recoverable.  In reviewing identifiable intangible assets, if the undiscounted future cash flows were less than the carrying amount of the respective (or underlying) asset, an indicator of impairment would exist and further analysis would be required to determine whether or not a loss would need to be charged against current period earnings as a component of amortization expense.  We had no impairment of amortizable assets related to the brokerage and risk management segments during the three-month period ended September 30, 2021.   Based on the results of impairment reviews during the three-month period ended September 30, 2020, we wrote off $3.7 million of amortizable assets related to the brokerage and risk management segments.  Based on the results of impairment reviews during the nine-month periods ended September 30, 2021 and 2020, we wrote off $13.1 million and $49.7 million, respectively, of amortizable assets related to the brokerage and risk management segments.

Of the $279.9  million of expiration lists, $3.8 million of non-compete agreements and $4.7 million of trade names related to our acquisitions made during the nine-month period ended September 30, 2021, $118.0  million, $1.6 million and $3.5 million, respectively, is not expected to be deductible for income tax purposes.  Accordingly, we recorded a deferred tax liability of $20.2 million, and a corresponding amount of goodwill, in the nine-month period ended September 30, 2021, related to the nondeductible amortizable intangible assets.  

Our consolidated financial statements for the nine-month period ended September 30, 2021 include the operations of the entities acquired in the nine-month period ended September 30, 2021 from their respective acquisition dates.  The following is a summary of the unaudited pro forma historical results, as if these entities had been acquired at January 1, 2020 (in millions, except per share data):

 

 

Three-month period ended

 

 

Nine-month period ended

 

 

September 30,

 

 

September 30,

 

 

2021

 

 

2020

 

 

2021

 

 

2020

 

Total revenues

$

2,140.7

 

 

$

1,899.6

 

 

$

6,278.4

 

 

$

5,435.7

 

Net earnings attributable to controlling interests

 

225.0

 

 

 

181.6

 

 

 

801.9

 

 

 

685.9

 

Basic net earnings per share

 

1.09

 

 

 

0.94

 

 

 

3.99

 

 

 

3.60

 

Diluted net earnings per share

 

1.06

 

 

 

0.92

 

 

 

3.90

 

 

 

3.52

 

 

The unaudited pro forma results above have been prepared for comparative purposes only and do not purport to be indicative of the results of operations which actually would have resulted had these acquisitions occurred at January 1, 2020, nor are they necessarily indicative of future operating results.  Annualized revenues of entities acquired during the nine-month period ended September 30, 2021 totaled approximately $189.9 million.  For the nine-month period ended September 30, 2021, total revenues and net loss recorded in our unaudited consolidated statement of earnings related to our acquisitions made during the nine-month period ended September 30, 2021, in the aggregate, were $95.8 million and $3.3 million, respectively.
v3.21.2
Contracts with Customers
 9 Months Ended
Sep. 30, 2021
Revenue From Contract With Customer [Abstract]  
Contracts with Customers

4.  Contracts with Customers

Contract Assets and Liabilities/Contract Balances

Information about unbilled receivables, contract assets and contract liabilities from contracts with customers is as follows (in millions):

 

 

 

September 30

2021

 

 

December 31,

2020

 

Unbilled receivables

 

$

810.6

 

 

$

603.1

 

Deferred contract costs

 

 

76.3

 

 

 

102.0

 

Deferred revenue

 

 

588.2

 

 

 

541.3

 

 

The unbilled receivables, which are included in premiums and fees receivable in our consolidated balance sheet, primarily relate to our rights to consideration for work completed but not billed at the reporting date.  These are transferred to the receivables when the client is billed.  The deferred contract costs represent the costs we incur to fulfill a new or renewal contract with our clients prior to the effective date of the contract.  These costs are expensed on the contract effective date.  The deferred revenue in the consolidated balance sheet includes amounts that represent the remaining performance obligations under our contracts and amounts collected related to advanced billings and deposits received from customers that may or may not ultimately be recognized as revenues in the future.  Deposits received from customers could be returned to the customers based on lesser actual transactional volume than originally billed volume.

 

 

Significant changes in the deferred revenue balances, which include foreign currency translation adjustments, during the period are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Total

 

Deferred revenue at December 31, 2020

 

$

354.7

 

 

$

186.6

 

 

$

541.3

 

Incremental deferred revenue

 

 

283.3

 

 

 

77.4

 

 

 

360.7

 

Revenue recognized during the nine-month period ended

   September 30, 2021 included in deferred revenue at December 31, 2020

 

 

(256.5

)

 

 

(76.8

)

 

 

(333.3

)

Net change in collected billings/deposits received from customers

 

 

1.5

 

 

 

7.3

 

 

 

8.8

 

Impact of change in foreign exchange rates

 

 

1.0

 

 

 

—

 

 

 

1.0

 

Deferred revenue recognized from business acquisitions

 

 

9.7

 

 

 

—

 

 

 

9.7

 

Deferred revenue at September 30, 2021

 

$

393.7

 

 

$

194.5

 

 

$

588.2

 

 

Revenue recognized during the nine-month period ended September 30, 2021 in the table above included revenue from 2020 acquisitions that would not be reflected in prior periods.

Remaining Performance Obligations

Remaining performance obligations represent the portion of the contract price for which work has not been performed.  As of September 30, 2021, the aggregate amount of the contract price allocated to remaining performance obligations was $588.2 million.  The estimated revenue expected to be recognized in the future related to performance obligations that are unsatisfied (or partially unsatisfied) at the end of the reporting period is as follows (in millions):

 

 

 

Brokerage

 

 

Risk

Management

 

 

Total

 

2021 (remaining three months)

 

$

235.6

 

 

$

89.4

 

 

$

325.0

 

2022

 

 

135.8

 

 

 

54.6

 

 

 

190.4

 

2023

 

 

19.3

 

 

 

23.4

 

 

 

42.7

 

2024

 

 

1.5

 

 

 

10.6

 

 

 

12.1

 

2025

 

 

0.8

 

 

 

5.9

 

 

 

6.7

 

Thereafter

 

 

0.7

 

 

 

10.6

 

 

 

11.3

 

Total

 

$

393.7

 

 

$

194.5

 

 

$

588.2

 

 

Deferred Contract Costs

We capitalize costs incurred to fulfill contracts as deferred contract costs which are included in other current assets in our consolidated balance sheet.  Deferred contract costs were $76.3 million and $102.0 million as of September 30, 2021 and December 31, 2020, respectively.  Capitalized fulfillment costs are amortized to expense on the contract effective date.  The amount of amortization of the deferred contract costs was $328.5 million and $304.0 million for the nine-month periods ended September 30, 2021 and 2020, respectively.

We have applied the practical expedient to recognize the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the assets that we otherwise would have recognized is one year or less for our brokerage segment.  These costs are included in compensation and operating expenses in our consolidated statement of earnings.

v3.21.2
Other Financial Data
 9 Months Ended
Sep. 30, 2021
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract]  
Other Financial Data

5.  Other Financial Data

Other Current Assets

Major classes of other current assets consist of the following (in millions):

 

 

 

September 30,

2021

 

 

December 31,

2020

 

Premium finance advances and loans

 

$

511.8

 

 

$

442.7

 

Accrued supplemental, direct bill and other receivables

 

 

546.2

 

 

 

361.7

 

Refined coal production related receivables

 

 

108.5

 

 

 

95.4

 

Deferred contract costs

 

 

76.3

 

 

 

102.0

 

Prepaid expenses

 

 

126.7

 

 

 

112.1

 

Total other current assets

 

$

1,369.5

 

 

$

1,113.9

 

 

The premium finance advances and loans represent short-term loans which we make to many of our brokerage related clients and other non‑brokerage clients to finance their premiums paid to underwriting enterprises.  These premium finance advances and loans are primarily generated by three Australian and New Zealand premium finance subsidiaries.  Financing receivables are carried at amortized cost.  Given that these receivables carry a fairly rapid delinquency period of only seven days post payment date, and that contractually the majority of the underlying insurance policies will be cancelled within one month of the payment due date in normal course, there historically has been a minimal risk of not receiving payment, and therefore we do not maintain any significant allowance for losses against this balance.  
v3.21.2
Intangible Assets
 9 Months Ended
Sep. 30, 2021
Goodwill And Intangible Assets Disclosure [Abstract]  
Intangible Assets

6.  Intangible Assets

The carrying amount of goodwill at September 30, 2021 and December 31, 2020 allocated by domestic and foreign operations is as follows (in millions):

 

 

 

Brokerage

 

 

Risk

Management

 

 

Corporate

 

 

Total

 

At September 30, 2021

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

3,568.9

 

 

$

64.8

 

 

$

—

 

 

$

3,633.7

 

United Kingdom

 

 

1,606.4

 

 

 

15.4

 

 

 

—

 

 

 

1,621.8

 

Canada

 

 

523.0

 

 

 

—

 

 

 

—

 

 

 

523.0

 

Australia

 

 

450.0

 

 

 

11.0

 

 

 

—

 

 

 

461.0

 

New Zealand

 

 

220.5

 

 

 

10.6

 

 

 

—

 

 

 

231.1

 

Other foreign

 

 

154.0

 

 

 

—

 

 

 

2.9

 

 

 

156.9

 

Total goodwill

 

$

6,522.8

 

 

$

101.8

 

 

$

2.9

 

 

$

6,627.5

 

At December 31, 2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

3,399.8

 

 

$

33.2

 

 

$

—

 

 

$

3,433.0

 

United Kingdom

 

 

1,328.3

 

 

 

15.1

 

 

 

—

 

 

 

1,343.4

 

Canada

 

 

492.9

 

 

 

—

 

 

 

—

 

 

 

492.9

 

Australia

 

 

462.1

 

 

 

11.5

 

 

 

—

 

 

 

473.6

 

New Zealand

 

 

221.9

 

 

 

10.7

 

 

 

—

 

 

 

232.6

 

Other foreign

 

 

148.6

 

 

 

—

 

 

 

2.9

 

 

 

151.5

 

Total goodwill

 

$

6,053.6

 

 

$

70.5

 

 

$

2.9

 

 

$

6,127.0

 

 

 

The changes in the carrying amount of goodwill for the nine-month period ended September 30, 2021 are as follows (in millions):

 

 

 

Brokerage

 

 

Risk

Management

 

 

Corporate

 

 

Total

 

Balance as of December 31, 2020

 

$

6,053.6

 

 

$

70.5

 

 

$

2.9

 

 

$

6,127.0

 

Goodwill acquired during the period

 

 

421.9

 

 

 

31.6

 

 

 

—

 

 

 

453.5

 

Goodwill adjustments due to appraisals and other acquisition adjustments

 

 

50.5

 

 

 

—

 

 

 

—

 

 

 

50.5

 

Goodwill written-off related to sales of business and impairment

 

 

(1.0

)

 

 

—

 

 

 

—

 

 

 

(1.0

)

Foreign currency translation adjustments during the period

 

 

(2.2

)

 

 

(0.3

)

 

 

—

 

 

 

(2.5

)

Balance as of September 30, 2021

 

$

6,522.8

 

 

$

101.8

 

 

$

2.9

 

 

$

6,627.5

 

 

Major classes of amortizable intangible assets at September 30, 2021 and December 31, 2020 consist of the following (in millions):

 

 

 

September 30,

 

 

December 31,

 

 

 

2021

 

 

2020

 

Expiration lists

 

$

4,997.2

 

 

$

4,753.2

 

Accumulated amortization - expiration lists

 

 

(2,727.5

)

 

 

(2,436.7

)

 

 

 

2,269.7

 

 

 

2,316.5

 

Non-compete agreements

 

 

73.5

 

 

 

75.9

 

Accumulated amortization - non-compete agreements

 

 

(61.9

)

 

 

(57.8

)

 

 

 

11.6

 

 

 

18.1

 

Trade names

 

 

105.5

 

 

 

107.8

 

Accumulated amortization - trade names

 

 

(47.8

)

 

 

(42.5

)

 

 

 

57.7

 

 

 

65.3

 

Net amortizable assets

 

$

2,339.0

 

 

$

2,399.9

 

 

Estimated aggregate amortization expense for each of the next five years and thereafter is as follows (in millions):

 

2021 (remaining three months)

 

$

96.0

 

2022

 

 

367.7

 

2023

 

 

342.4

 

2024

 

 

306.1

 

2025

 

 

266.2

 

Thereafter

 

 

960.6

 

Total

 

$

2,339.0

 

 
v3.21.2
Credit and Other Debt Agreements
 9 Months Ended
Sep. 30, 2021
Debt Disclosure [Abstract]  
Credit and Other Debt Agreements

 


 

7.  Credit and Other Debt Agreements

The following is a summary of our corporate and other debt (in millions):

 

September 30,

 

 

December 31,

 

 

 

2021

 

 

2020

 

Senior Notes:

 

 

 

 

 

 

 

 

Semi-annual payments of interest, fixed rate of 3.50%, balloon due May 20, 2051

 

 

850.0

 

 

 

—

 

Total Senior Notes

 

 

850.0

 

 

 

—

 

Note Purchase Agreements:

 

 

 

 

 

 

 

 

Semi-annual payments of interest, fixed rate of 5.18%, balloon due February 10, 2021

 

 

—

 

 

 

75.0

 

Semi-annual payments of interest, fixed rate of 3.69%, balloon due June 14, 2022

 

 

200.0

 

 

 

200.0

 

Semi-annual payments of interest, fixed rate of 5.49%, balloon due February 10, 2023

 

 

50.0

 

 

 

50.0

 

Semi-annual payments of interest, fixed rate of 4.13%, balloon due June 24, 2023

 

 

200.0

 

 

 

200.0

 

Semi-annual payments of interest, fixed rate of 4.72%, balloon due February 13, 2024

 

 

100.0

 

 

 

100.0

 

Semi-annual payments of interest, fixed rate of 4.58%, balloon due February 27, 2024

 

 

325.0

 

 

 

325.0

 

Quarterly payments of interest, floating rate of 90 day LIBOR plus 1.40%, balloon due June 13, 2024

 

 

50.0

 

 

 

50.0

 

Semi-annual payments of interest, fixed rate of 4.31%, balloon due June 24, 2025

 

 

200.0

 

 

 

200.0

 

Semi-annual payments of interest, fixed rate of 4.85%, balloon due February 13, 2026

 

 

140.0

 

 

 

140.0

 

Semi-annual payments of interest, fixed rate of 4.73%, balloon due February 27, 2026

 

 

175.0

 

 

 

175.0

 

Semi-annual payments of interest, fixed rate of 4.40%, balloon due June 2, 2026

 

 

175.0

 

 

 

175.0

 

Semi-annual payments of interest, fixed rate of 4.36%, balloon due June 24, 2026

 

 

150.0

 

 

 

150.0

 

Semi-annual payments of interest, fixed rate of 3.75%, balloon due January 30, 2027

 

 

30.0

 

 

 

30.0

 

Semi-annual payments of interest, fixed rate of 4.09%, balloon due June 27, 2027

 

 

125.0

 

 

 

125.0

 

Semi-annual payments of interest, fixed rate of 4.09%, balloon due August 2, 2027

 

 

125.0

 

 

 

125.0

 

Semi-annual payments of interest, fixed rate of 4.14%, balloon due August 4, 2027

 

 

98.0

 

 

 

98.0

 

Semi-annual payments of interest, fixed rate of 3.46%, balloon due December 1, 2027

 

 

100.0

 

 

 

100.0

 

Semi-annual payments of interest, fixed rate of 4.55%, balloon due June 2, 2028

 

 

75.0

 

 

 

75.0

 

Semi-annual payments of interest, fixed rate of 4.34%, balloon due June 13, 2028

 

 

125.0

 

 

 

125.0

 

Semi-annual payments of interest, fixed rate of 5.04%, balloon due February 13, 2029

 

 

100.0

 

 

 

100.0

 

Semi-annual payments of interest, fixed rate of 4.98%, balloon due February 27, 2029

 

 

100.0

 

 

 

100.0

 

Semi-annual payments of interest, fixed rate of 4.19%, balloon due June 27, 2029

 

 

50.0

 

 

 

50.0

 

Semi-annual payments of interest, fixed rate of 4.19%, balloon due August 2, 2029

 

 

50.0

 

 

 

50.0

 

Semi-annual payments of interest, fixed rate of 3.48%, balloon due December 2, 2029

 

 

50.0

 

 

 

50.0

 

Semi-annual payments of interest, fixed rate of 3.99%, balloon due January 30, 2030

 

 

341.0

 

 

 

341.0

 

Semi-annual payments of interest, fixed rate of 4.44%, balloon due June 13, 2030

 

 

125.0

 

 

 

125.0

 

Semi-annual payments of interest, fixed rate of 5.14%, balloon due March 13, 2031

 

 

180.0

 

 

 

180.0

 

Semi-annual payments of interest, fixed rate of 4.70%, balloon due June 2, 2031

 

 

25.0

 

 

 

25.0

 

Semi-annual payments of interest, fixed rate of 4.09%, balloon due January 30, 2032

 

 

69.0

 

 

 

69.0

 

Semi-annual payments of interest, fixed rate of 4.34%, balloon due June 27, 2032

 

 

75.0

 

 

 

75.0

 

Semi-annual payments of interest, fixed rate of 4.34%, balloon due August 2, 2032

 

 

75.0

 

 

 

75.0

 

Semi-annual payments of interest, fixed rate of 4.59%, balloon due June 13, 2033

 

 

125.0

 

 

 

125.0

 

Semi-annual payments of interest, fixed rate of 5.29%, balloon due March 13, 2034

 

 

40.0

 

 

 

40.0

 

Semi-annual payments of interest, fixed rate of 4.48%, balloon due June 12, 2034

 

 

175.0

 

 

 

175.0

 

Semi-annual payments of interest, fixed rate of 4.24%, balloon due January 30, 2035

 

 

79.0

 

 

 

79.0

 

Semi-annual payments of interest, fixed rate of 2.44%, balloon due February 10, 2036

 

 

100.0

 

 

 

—

 

Semi-annual payments of interest, fixed rate of 2.46%, balloon due May 5, 2036

 

 

75.0

 

 

 

—

 

Semi-annual payments of interest, fixed rate of 4.69%, balloon due June 13, 2038

 

 

75.0

 

 

 

75.0

 

Semi-annual payments of interest, fixed rate of 5.45%, balloon due March 13, 2039

 

 

40.0

 

 

 

40.0

 

Semi-annual payments of interest, fixed rate of 4.49%, balloon due January 30, 2040

 

 

56.0

 

 

 

56.0

 

Total Note Purchase Agreements

 

 

4,448.0

 

 

 

4,348.0

 

Credit Agreement:

 

 

 

 

 

 

 

 

Periodic payments of interest and principal, prime or LIBOR plus up to 1.45%, expires June 7, 2024

 

 

—

 

 

 

—

 

Premium Financing Debt Facility - expires September 15, 2023:

 

 

 

 

 

 

 

 

Facility B

 

 

 

 

 

 

 

 

AUD denominated tranche, interbank rates plus 1.200%

 

 

211.9

 

 

 

193.1

 

NZD denominated tranche, interbank rates plus 1.650%

 

 

—

 

 

 

—

 

Facility C and D

 

 

 

 

 

 

 

 

AUD denominated tranche, interbank rates plus 0.680%

 

 

11.8

 

 

 

—

 

NZD denominated tranche, interbank rates plus 0.940%

 

 

10.4

 

 

 

10.5

 

Total Premium Financing Debt Facility

 

 

234.1

 

 

 

203.6

 

Total corporate and other debt

 

 

5,532.1

 

 

 

4,551.6

 

Less unamortized debt acquisition costs on Senior Notes and Note Purchase Agreements

 

 

(15.6

)

 

 

(7.0

)

Less unamortized discount on Bonds Payable

 

 

(10.0

)

 

 

—

 

Net corporate and other debt

 

$

5,506.5

 

 

$

4,544.6

 

On May 20, 2021, we closed and funded an offering of $1,500.0 million of unsecured senior notes in two tranches.  The $650.0 million aggregate principal amount of 2.50% Senior Notes were due 2031 (which we refer to as the 2031 Notes) and the $850.0 million aggregate principal amount of 3.50% Senior Notes are due 2051 (which we refer to as the 2051 Notes, and together

with the 2031 Notes, the “Notes”).  The weighted average interest rate was 3.31% per annum after giving effect to underwriting costs and the net hedge loss.  In 2018 and 2019, we entered into a pre-issuance interest rate hedging transaction related to these notes.  We realized a net cash loss of approximately $57.8 million on the hedging transactions that will be recognized on a pro rata basis as an increase to our reported interest expense over a ten year period.  Prior to the termination our agreement to acquire certain Willis Towers Watson plc brokerage operations, our intent was to use the net proceeds of this offering to fund a portion of the cash consideration payable in connection with this transaction.  We now expect to use the net proceeds of this offering related to the 2051 Notes to fund a portion of the cash consideration payable in connection with the Willis Tower Watson plc treaty reinsurance transaction. The offering of the Notes was made pursuant to a shelf registration statement filed with the SEC.  

The 2031 Notes had a special optional redemption whereby we had the option to redeem the 2031 Notes, in whole and not in part, by providing notice of such redemption to the holders of the 2031 Notes within 30 days following a Willis Tower Watson plc transaction termination event, at a redemption price equal to 101% of the aggregate principal amount of the 2031 Notes, plus any accrued and unpaid interest.  In conjunction with the termination of the Willis Towers Watson plc brokerage acquisition agreement, on July 29, 2021, we exercised the special option redemption feature for the 2031 Senior Notes. These notes were redeemed on August 13, 2021.  As a result of the redemption of this debt, we incurred a loss on extinguishment of debt of $16.2 million, which included the redemption price premium of $6.5 million, the unamortized discount amount on the debt issuance and the write-off of all the debt acquisition costs of $9.7 million.  The 2051 Notes are not subject to the special optional redemption.

v3.21.2
Earnings Per Share
 9 Months Ended
Sep. 30, 2021
Earnings Per Share [Abstract]  
Earnings Per Share

8.  Earnings Per Share

The following table sets forth the computation of basic and diluted net earnings per share (in millions, except per share data):

 

 

Three-month period ended

 

 

Nine-month period ended

 

 

September 30,

 

 

September 30,

 

 

2021

 

 

2020

 

 

2021

 

 

2020

 

Net earnings attributable to controlling interests

$

225.1

 

 

$

176.6

 

 

$

797.4

 

 

$

676.6

 

Weighted average number of common shares outstanding

 

207.0

 

 

 

191.9

 

 

 

201.0

 

 

 

190.4

 

Dilutive effect of stock options using the treasury

   stock method

 

4.5

 

 

 

4.4

 

 

 

4.5

 

 

 

4.1

 

Weighted average number of common and common

   equivalent shares outstanding

 

211.5

 

 

 

196.3

 

 

 

205.5

 

 

 

194.5

 

Basic net earnings per share

$

1.09

 

 

$

0.92

 

 

$

3.97

 

 

$

3.55

 

Diluted net earnings per share

$

1.06

 

 

$

0.90

 

 

$

3.88

 

 

$

3.48

 

Anti-dilutive stock-based awards of 1.6 million shares were outstanding at September 30, 2021 that were excluded in the computation of the dilutive effect of stock-based awards for the three-month period then ended. There were no anti-dilutive stock-based awards outstanding at September 30, 2020 that were excluded in the computation of the dilutive effect of stock-based awards for the three‑month period then ended.  Anti-dilutive stock-based awards of 1.2 million and 1.0 million shares were outstanding at September 30, 2021 and 2020 that were excluded in the computation of the dilutive effect of stock-based awards for the nine-month periods then ended.  These stock‑based awards were excluded from the computation because the exercise prices on these stock-based awards were greater than the average market price of our common shares during the respective period, and therefore, would be anti‑dilutive to earnings per share under the treasury stock method.
v3.21.2
Stock Option Plans
 9 Months Ended
Sep. 30, 2021
Text Block [Abstract]  
Stock Option Plans

9.  Stock Option Plans

On May 16, 2017, our stockholders approved the Arthur J. Gallagher & Co. 2017 Long-Term Incentive Plan (which we refer to as the LTIP), which replaced our previous stockholder-approved Arthur J. Gallagher & Co. 2014 Long-Term Incentive Plan (which we refer to as the 2014 LTIP).  The LTIP term began May 16, 2017 and terminates on the date of the annual meeting of stockholders in 2027, unless terminated earlier by our board of directors. All of our officers, employees and non-employee directors are eligible to receive awards under the LTIP.  The compensation committee of our board of directors determines the annual number of shares delivered under the LTIP.  The LTIP provides for non-qualified and incentive stock options, stock appreciation rights, restricted stock and restricted stock units, any or all of which may be made contingent upon the achievement of performance criteria.  

Shares of our common stock available for issuance under the LTIP include authorized and unissued shares of common stock or authorized and issued shares of common stock reacquired and held as treasury shares or otherwise, or a combination thereof.  The number of available shares will be reduced by the aggregate number of shares that become subject to outstanding awards granted under the LTIP. To the extent that shares subject to an outstanding award granted under either the LTIP or prior equity plans are not

issued or delivered by reason of the expiration, termination, cancellation or forfeiture of such award or by reason of the settlement of such award in cash, then such shares will again be available for grant under the LTIP.

The maximum number of shares available under the LTIP for restricted stock, restricted stock unit awards and performance unit awards settled with stock (i.e., all awards other than stock options and stock appreciation rights) is 1.8 million at September 30, 2021.  

The LTIP provides for the grant of stock options, which may be either tax-qualified incentive stock options or non-qualified options and stock appreciation rights.  The compensation committee determines the period for the exercise of a non-qualified stock option, tax-qualified incentive stock option or stock appreciation right, provided that no option can be exercised later than seven years after its date of grant.  The exercise price of a non-qualified stock option or tax-qualified incentive stock option and the base price of a stock appreciation right cannot be less than 100% of the fair market value of a share of our common stock on the date of grant, provided that the base price of a stock appreciation right granted in tandem with an option will be the exercise price of the related option.  

Upon exercise, the option exercise price may be paid in cash, by the delivery of previously owned shares of our common stock, through a net-exercise arrangement, or through a broker-assisted cashless exercise arrangement.  The compensation committee determines all of the terms relating to the exercise, cancellation or other disposition of an option or stock appreciation right upon a termination of employment, whether by reason of disability, retirement, death or any other reason. Stock option and stock appreciation right awards under the LTIP are non-transferable.

On March 16, 2021, the compensation committee granted 1,640,000 options under the LTIP to our officers and key employees that become exercisable at the rate of 34%, 33% and 33% on the anniversary date of the grant in 2024, 2025 and 2026, respectively.  On March 12, 2020, the compensation committee granted 1,590,740 options under the LTIP to our officers and key employees that become exercisable at the rate of 34%, 33% and 33% on the anniversary date of the grant in 2023, 2024 and 2025, respectively.  The 2021 and 2020 options expire seven years from the date of grant, or earlier in the event of certain terminations of employment.  For our executive officers age 55 or older, stock options are not subject to forfeiture upon such officers’ departure from the company after two years from the date of grant.

During the three-month periods ended September 30, 2021 and 2020, we recognized $4.7 million and $3.4 million, respectively, of compensation expense related to our stock option grants. During the nine-month periods ended September 30, 2021 and 2020, we recognized $12.9 million and $10.1 million, respectively, of compensation expense related to our stock option grants.

For purposes of expense recognition, the estimated fair values of the stock option grants are amortized to expense over the options’ vesting period.  We estimated the fair value of stock options at the date of grant using the Black-Scholes option pricing model with the following weighted average assumptions:

 

 

 

2021

 

 

2020

 

Expected dividend yield

 

 

1.5

%

 

 

2.1

%

Expected risk-free interest rate

 

 

0.9

%

 

 

0.7

%

Volatility

 

 

22.9

%

 

 

17.3

%

Expected life (in years)

 

 

5.4

 

 

 

5.4

 

 

Option valuation models require the input of highly subjective assumptions including the expected stock price volatility.  The Black-Scholes option pricing model was developed for use in estimating the fair value of traded options which have no vesting restrictions and are fully transferable.  The weighted average fair value per option for all options granted during the nine-month periods ended September 30, 2021 and 2020, as determined on the grant date using the Black-Scholes option pricing model, was $23.38 and $9.99, respectively.

The following is a summary of our stock option activity and related information for 2021 (in millions, except exercise price and year data):

 

 

 

Nine-month period ended September 30, 2021

 

 

 

 

 

 

 

 

 

 

 

Weighted

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average

 

 

 

 

 

 

 

 

 

 

 

Weighted

 

 

Remaining

 

 

 

 

 

 

 

Shares

 

 

Average

 

 

Contractual

 

 

Aggregate

 

 

 

Under

 

 

Exercise

 

 

Term

 

 

Intrinsic

 

 

 

Option

 

 

Price

 

 

(in years)

 

 

Value

 

Beginning balance

 

 

7.5

 

 

$

65.09

 

 

 

 

 

 

 

 

 

Granted

 

 

1.6

 

 

 

127.90

 

 

 

 

 

 

 

 

 

Exercised

 

 

(1.1

)

 

 

49.30

 

 

 

 

 

 

 

 

 

Forfeited or canceled

 

 

(0.1

)

 

 

86.21

 

 

 

 

 

 

 

 

 

Ending balance

 

 

7.9

 

 

$

80.17

 

 

 

4.05

 

 

$

539.1

 

Exercisable at end of period

 

 

2.3

 

 

$

51.05

 

 

 

1.76

 

 

$

228.0

 

Ending unvested and expected to vest

 

 

5.1

 

 

$

91.53

 

 

 

4.97

 

 

$

293.8

 

 

Options with respect to 9.5 million shares (less any shares of restricted stock issued under the LTIP - see Note 11 to these unaudited consolidated financial statements) were available for grant under the LTIP at September 30, 2021.

The total intrinsic value of options exercised during the nine-month periods ended September 30, 2021 and 2020 was $93.6 million and $68.7 million, respectively.  As of September 30, 2021, we had approximately $52.4 million of total unrecognized compensation expense related to nonvested options.  We expect to recognize that cost over a weighted average period of approximately four years.

Other information regarding stock options outstanding and exercisable at September 30, 2021 is summarized as follows (in millions, except exercise price and year data):

 

 

 

 

 

 

 

 

 

 

 

Options Outstanding

 

 

Options Exercisable

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Remaining

 

 

Weighted

 

 

 

 

 

 

Weighted

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Contractual

 

 

Average

 

 

 

 

 

 

Average

 

 

 

 

 

 

 

 

 

 

 

Number

 

 

Term

 

 

Exercise

 

 

Number

 

 

Exercise

 

Range of Exercise Prices

 

 

Outstanding

 

 

(in years)

 

 

Price

 

 

Exercisable

 

 

Price

 

$

43.71

 

 

—

 

$

43.71

 

 

 

1.0

 

 

$

1.46

 

 

$

43.71

 

 

 

0.9

 

 

43.71

 

 

46.17

 

 

—

 

 

46.17

 

 

 

0.5

 

 

 

0.44

 

 

 

46.17

 

 

 

0.5

 

 

 

46.17

 

 

49.55

 

 

—

 

 

56.86

 

 

 

1.1

 

 

 

2.46

 

 

 

56.83

 

 

 

0.6

 

 

 

56.81

 

 

70.74

 

 

 

 

 

70.74

 

 

 

1.0

 

 

 

3.46

 

 

 

70.74

 

 

 

0.3

 

 

 

70.74

 

 

79.59

 

 

—

 

 

79.59

 

 

 

1.2

 

 

 

4.45

 

 

 

79.59

 

 

 

—

 

 

 

79.59

 

 

86.17

 

 

—

 

 

86.17

 

 

 

1.5

 

 

 

5.45

 

 

 

86.17

 

 

 

—

 

 

 

86.17

 

 

127.90

 

 

—

 

 

127.90

 

 

 

1.6

 

 

 

6.46

 

 

 

127.90

 

 

 

—

 

 

 

—

 

$

43.71

 

 

—

 

$

127.90

 

 

 

7.9

 

 

 

4.05

 

 

$

80.17

 

 

 

2.3

 

 

$

51.05

 

 
v3.21.2
Deferred Compensation
 9 Months Ended
Sep. 30, 2021
Compensation Related Costs [Abstract]  
Deferred Compensation

10.  Deferred Compensation

We have a Deferred Equity Participation Plan (which we refer to as the DEPP), which is a non-qualified plan that generally provides for distributions to certain of our key executives when they reach age 62 (or the one-year anniversary of the date of the grant for participants over the age of 61 as of the grant date) or upon or after their actual retirement if later.  Under the provisions of the DEPP, we typically contribute cash in an amount approved by the compensation committee to a rabbi trust on behalf of the executives participating in the DEPP, and instruct the trustee to acquire a specified number of shares of our common stock on the open market or in privately negotiated transactions based on participant elections.  Distributions under the DEPP may not normally be made until the participant reaches age 62 (or the one-year anniversary of the date of the grant for participants over the age of 61 as of the grant date) and are subject to forfeiture in the event of voluntary termination of employment prior to then.  DEPP awards are generally made annually in the first quarter.  In addition, we annually make awards under sub-plans of the DEPP for certain production staff, which generally provide for vesting and/or distributions no sooner than five years from the date of awards, although certain awards vest and/or distribute after the earlier of fifteen years or the participant reaching age 65.  All contributions to the plan (including sub-plans) deemed to be invested in shares of our common stock are distributed in the form of our common stock and all other distributions are paid in cash.

Our common stock that is issued to or purchased by the rabbi trust as a contribution under the DEPP is valued at historical cost, which equals its fair market value at the date of grant or date of purchase.  When common stock is issued, we record an unearned deferred compensation obligation as a reduction of capital in excess of par value in the accompanying consolidated balance sheet, which is amortized to compensation expense ratably over the vesting period of the participants.  Future changes in the fair market value of our common stock owed to the participants do not have any impact on the amounts recorded in our consolidated financial statements.  

In the first quarters of 2021 and 2020, the compensation committee approved $17.0 million and $14.1 million, respectively, of awards in the aggregate to certain key executives under the DEPP that were contributed to the rabbi trust in the first quarters of 2021 and 2020, respectively.  We contributed cash to the rabbi trust and instructed the trustee to acquire a specified number of shares of our common stock on the open market to fund these 2021 and 2020 awards.  During the three-month periods ended September 30, 2021 and 2020, we charged $3.8 million and $3.0 million, respectively, to compensation expense related to these awards. During the nine‑month periods ended September 30, 2021 and 2020, we charged $10.3 million and $9.0 million, respectively, to compensation expense related to these awards.

In the first quarters of 2021 and 2020, the compensation committee approved $3.2 million and $1.8 million, respectively, of awards under the sub-plans referred to above, which were contributed to the rabbi trust in the first quarters of 2021 and 2020, respectively.  During the three-month periods ended September 30, 2021 and 2020, we charged $0.5 million and $0.7 million, respectively, to compensation expense related to these awards.  During the nine-month periods ended September 30, 2021 and 2020, we charged $1.9 million and $2.1 million, respectively, to compensation expense related to these awards.  There were no distributions from the sub-plans during the nine-month periods ended September 30, 2021 and 2020.

At September 30, 2021 and December 31, 2020, we recorded $74.3 million (related to 2.7 million shares) and $60.5 million (related to 2.6 million shares), respectively, of unearned deferred compensation as a reduction of capital in excess of par value in the accompanying consolidated balance sheet.  The total intrinsic value of our unvested equity-based awards under the plan at September 30, 2021 and December 31, 2020 was $402.8 million and $327.8 million, respectively.  During the nine-month period ended September 30, 2021, cash and equity awards with an aggregate fair value of $10.1 million were vested and distributed to executives under the DEPP.  During the nine-month period ended September 30, 2020, cash and equity awards with an aggregate fair value of $9.8 million were vested and distributed to executives under the DEPP.  

We have a Deferred Cash Participation Plan (which we refer to as the DCPP), which is a non-qualified deferred compensation plan for certain key employees, other than executive officers, that generally provides for vesting and/or distributions no sooner than five years from the date of awards. Under the provisions of the DCPP, we typically contribute cash in an amount approved by the compensation committee to the rabbi trust on behalf of the executives participating in the DCPP, and instruct the trustee to acquire a specified number of shares of our common stock on the open market or in privately negotiated transactions based on participant elections.  In the first quarters of 2021 and 2020, the compensation committee approved $7.2 million and $3.0 million, respectively, of awards in the aggregate to certain key executives under the DCPP that were contributed to the rabbi trust in the second quarters of 2021 and 2020, respectively.  During the three-month periods ended September 30, 2021 and 2020, we charged $2.9 million and $1.6 million, respectively, to compensation expense related to these awards. During the nine-month periods ended September 30, 2021 and 2020, we charged $7.0 million and $5.0 million, respectively, to compensation expense related to these awards.  There were $6.7 million and $7.3 million of distributions from the DCPP during the nine-month periods ended September 30, 2021 and 2020, respectively.
v3.21.2
Restricted Stock, Performance Share and Cash Awards
 9 Months Ended
Sep. 30, 2021
Text Block [Abstract]  
Restricted Stock, Performance Share and Cash Awards

11.  Restricted Stock, Performance Share and Cash Awards

Restricted Stock Awards

As discussed in Note 9 to these unaudited consolidated financial statements, on May 16, 2017, our stockholders approved the LTIP, which replaced our previous stockholder-approved 2014 LTIP.  The LTIP provides for the grant of a stock award either as restricted stock or as restricted stock units to officers, employees and non-employee directors.  In either case, the compensation committee may determine that the award will be subject to the attainment of performance measures over an established performance period.  Stock awards and the related dividend equivalents are non-transferable and subject to forfeiture if the holder does not remain continuously employed with us during the applicable restriction period or, in the case of a performance-based award, if applicable performance measures are not attained. The compensation committee will determine all of the terms relating to the satisfaction of performance measures and the termination of a restriction period, or the forfeiture and cancellation of a restricted stock award upon a termination of employment, whether by reason of disability, retirement, death or any other reason.  

The agreements awarding restricted stock units under the LTIP will specify whether such awards may be settled in shares of our common stock, cash or a combination of shares and cash and whether the holder will be entitled to receive dividend equivalents, on a current or deferred basis, with respect to such award. Prior to the settlement of a restricted stock unit, the holder of a restricted stock

unit will have no rights as a stockholder of the company.  The maximum number of shares available under the LTIP for restricted stock, restricted stock units and performance unit awards settled with stock (i.e., all awards other than stock options and stock appreciation rights) is 4.0  million.  At September 30, 2021, 1.8 million shares were available for grant under the LTIP for such awards.

In the first quarters of 2021 and 2020, we granted 314,000 and 405,900 restricted stock units, respectively, to employees under the LTIP, with an aggregate fair value of $40.1 million and $34.9 million, respectively, at the date of grant.  These 2021 and 2020 awards of restricted stock units vest in full based on continued employment through March 16, 2026 and March 12, 2025, respectively. For our executive officers age 55 or older, restricted stock units are not subject to forfeiture upon such officers’ departure from the company after two years from the date of grant.  

We account for restricted stock awards at historical cost, which equals its fair market value at the date of grant, which is amortized to compensation expense ratably over the vesting period of the participants.  Future changes in the fair value of our common stock that is owed to the participants do not have any impact on the amounts recorded in our consolidated financial statements.  During the three-month periods ended September 30, 2021 and 2020, we recognized $6.7 million and $5.5 million, respectively, to compensation expense related to restricted stock unit awards granted in 2015 through 2021. During the nine-month periods ended September 30, 2021 and 2020, we recognized $20.2 million and $17.0 million, respectively, to compensation expense related to restricted stock unit awards granted in 2015 through 2021.  The total intrinsic value of unvested restricted stock units at September 30, 2021 and 2020 was $293.4 million and $221.1 million, respectively. During the three-month period ended September 30, 2021, equity awards (including accrued dividends) with an aggregate value of $0.5 million were vested and distributed to employees under this plan. During the nine‑month periods ended September 30, 2021 and 2020, equity awards (including accrued dividends) with an aggregate value of $48.6 million and $30.6 million, respectively, were vested and distributed to employees under this plan.   

Performance Share Awards

On March 16, 2021 and March 12, 2020, pursuant to the LTIP, the compensation committee approved 67,000 and 82,500, respectively, of provisional performance share awards, with an aggregate fair value of $8.6 million and $7.1 million, respectively, for future grants to our officers. Each performance share award was equivalent to the value of one share of our common stock on the date such provisional award was approved. At the end of the performance period, eligible participants will receive a number of earned shares based on the growth in adjusted EBITDAC per share (as defined in our 2021 Proxy Statement). Earned shares for the 2021 and 2020 provisional awards will fully vest based on continuous employment through March 16, 2024 and March 12, 2023, respectively, and will be settled in unrestricted shares of our common stock on a one-for-one basis as soon as practicable thereafter.  The 2021 and 2020 awards are subject to a three-year performance period that began on January 1, 2021 and 2020, respectively, and vest on the three-year anniversary of the date of grant (March 16, 2024 and March 12, 2023). For certain of our executive officers age 55 or older, awards are no longer subject to forfeiture upon such officers’ departure from the company after two years from the date of grant.  During the three-month periods ended September 30, 2021 and 2020, we recognized $3.1 million and $3.1 million, respectively, to compensation expense related to performance share awards granted in 2017 through 2021.  During the nine-month periods ended September 30, 2021 and 2020, we recognized $9.3 million and $11.6 million, respectively, to compensation expense related to performance share awards granted in 2017 through 2021.  The total intrinsic value of unvested performance share awards at September 30, 2021 and 2020 was $48.3 million and $35.4 million, respectively.  During the nine-month periods ended September 30, 2021 and 2020, equity awards (including accrued dividends) with an aggregate fair value of $19.1 million and $12.5 million, respectively, were vested and distributed to employees under this plan.

Cash Awards

On March 16, 2021, pursuant to our Performance Unit Program (which we refer to as the Program), the compensation committee approved provisional cash awards of $18.8 million in the aggregate for future grants to our officers and key employees that are denominated in units (147,000 units in the aggregate), each of which was equivalent to the value of one share of our common stock on the date the provisional award was approved.  The Program consists of a one-year performance period based on our financial performance and a three-year vesting period measured from January 1 of the year of grant.  At the discretion of the compensation committee and determined based on our performance, the eligible officer or key employee will be granted a percentage of the provisional cash award units that equates to the EBITAC growth achieved (as defined in the Program).  At the end of the performance period, eligible participants will be granted a number of units based on achievement of the performance goal and subject to approval by the compensation committee.  Granted units for the 2021 provisional award will fully vest based on continuous employment through January 1, 2024.  The ultimate award value will be equal to the trailing twelve-month price of our common stock on December 31, 2023, multiplied by the number of units subject to the award, but limited to between 0.5 and 1.5 times the original value of the units determined as of the grant date.  The fair value of the awarded units will be paid out in cash as soon as practicable in 2024.  If an eligible employee leaves us prior to the vesting date, the entire award will be forfeited.  We did not recognize any compensation expense during the nine-month period ended September 30, 2021 related to the 2021 provisional award under the Program.  

On March 12, 2020, pursuant to the Program, the compensation committee approved provisional cash awards of $18.4 million in the aggregate for future grants to our officers and key employees that are denominated in units (213,000 units in the aggregate), each of which was equivalent to the value of one share of our common stock on the date the provisional award was approved.  Terms of the 2020 provisional awards were similar to the terms of the 2021 provisional awards.  Based on our performance for 2020, we granted 208,000 units under the Program in the first quarter of 2021 that will fully vest on January 1, 2023.  During the three and nine-month periods ended September 30, 2021, we recognized $3.2 million and $9.4 million, respectively, to compensation expense related to these awards. 

On March 14, 2019, pursuant to the Program, the compensation committee approved provisional cash awards of $16.5 million in the aggregate for future grants to our officers and key employees that are denominated in units (206,800 units in the aggregate), each of which was equivalent to the value of one share of our common stock on the date the provisional award was approved.  Terms of the 2019 provisional awards were similar to the terms of the 2020 provisional awards.  Based on our performance for 2019, we granted 200,000 units under the Program in the first quarter of 2020 that will fully vest on January 1, 2022.  During the three-month periods ended September 30, 2021 and 2020, we recognized $2.8 million and $2.9 million to compensation expense related to these awards, respectively.  During the nine-month periods ended September 30, 2021 and 2020, we recognized $8.8 million and $7.2 million, respectively, to compensation expense related to these awards,

On March 15, 2018, pursuant to the Program, the compensation committee approved provisional cash awards of $15.0 million in the aggregate for future grants to our officers and key employees denominated in units (219,000 units in the aggregate), each of which was equivalent to the value of one share of our common stock on the date the provisional award was approved.  Terms of the 2018 provisional awards were similar to the terms of the 2019 provisional awards.  Based on our performance, we granted 190,000 units under the Program in the first quarter of 2019 that fully vested on January 1, 2021.  During the three and nine-month periods ended September 30, 2020, we recognized $2.7 million and $6.8 million, respectively, to compensation expense related to these awards.  

During the nine-month period ended September 30, 2021, cash awards related to the 2018 provisional award with an aggregate fair value of $17.7 million (176,300 units in the aggregate) were vested and distributed to employees under the Program.  During the nine-month period ended September 30, 2020, cash awards related to the 2017 provisional award with an aggregate fair value of $18.9 million (221,600 units in the aggregate) were vested and distributed to employees under the Program.    
v3.21.2
Investments
 9 Months Ended
Sep. 30, 2021
Equity Method Investments And Joint Ventures [Abstract]  
Investments

12.  Investments

The following is a summary of our investments included in other noncurrent assets in the consolidated balance sheet and the related funding commitments (in millions):

 

 

September 30,

2021

 

 

December 31,

2020

 

 

 

 

 

 

 

Funding

 

 

 

 

 

 

 

Assets

 

 

Commitments

 

 

Assets

 

Chem-Mod LLC

 

$

4.0

 

 

$

—

 

 

$

4.0

 

Chem-Mod International LLC

 

 

2.0

 

 

 

—

 

 

 

2.0

 

Clean-coal investments:

 

 

 

 

 

 

 

 

 

 

 

 

Non-controlling interest in a limited liability company that owns one

   2011 Era Clean Coal Plant

 

 

—

 

 

 

—

 

 

 

0.1

 

Controlling interest in limited liability companies that own twenty

   2011 Era Clean Coal Plants

 

 

2.6

 

 

 

—

 

 

 

12.4

 

Other investments

 

 

5.5

 

 

 

0.5

 

 

 

3.9

 

Total investments

 

$

14.1

 

 

$

0.5

 

 

$

22.4

 

 
v3.21.2
Derivatives and Hedging Activity
 9 Months Ended
Sep. 30, 2021
Derivative Instruments And Hedging Activities Disclosure [Abstract]  
Derivatives and Hedging Activity

13.  Derivatives and Hedging Activity

We are exposed to market risks, including changes in foreign currency exchange rates and interest rates.  To manage the risk related to these exposures, we enter into various derivative instruments that reduce these risks by creating offsetting exposures.  We generally do not enter into derivative transactions for trading or speculative purposes.

Foreign Exchange Risk Management

We are exposed to foreign exchange risk when we earn revenues, pay expenses, or enter into monetary intercompany transfers denominated in a currency that differs from our functional currency, or other transactions that are denominated in a currency other

than our functional currency.  We use foreign exchange derivatives, typically forward contracts and options, to reduce our overall exposure to the effects of currency fluctuations on cash flows.  These exposures are hedged, on average, for less than three years.

Interest Rate Risk Management

We enter into various long-term debt agreements. We use interest rate derivatives, typically swaps, to reduce our exposure to the effects of interest rate fluctuations on the forecasted interest rates for up to three years into the future.

We have not received or pledged any collateral related to derivative arrangements at September 30, 2021.

The notional and fair values of derivatives designated as hedging instruments are as follows at September 30, 2021 and December 31, 2020 (in millions):

 

 

 

 

 

 

 

Derivative Assets

 

 

 

 

 

Derivative Liabilities

 

 

 

 

 

 

Notional

 

 

Balance Sheet

 

Fair

 

 

Balance Sheet

 

Fair

 

Instrument

 

Amount

 

 

Classification

 

Value

 

 

Classification

 

Value

 

At September 30, 2021

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate contracts

 

$

1,000.0

 

 

Other current assets

 

$

5.9

 

 

Accrued compensation and other current liabilities

 

$

0.3

 

 

 

 

 

 

 

Other noncurrent assets

 

 

5.9

 

 

Other noncurrent liabilities

 

 

4.2

 

Foreign exchange contracts (1)

 

 

22.5

 

 

Other current assets

 

 

4.5

 

 

Accrued compensation and other current liabilities

 

 

0.9

 

 

 

 

 

 

 

Other noncurrent assets

 

 

1.9

 

 

Other noncurrent liabilities

 

 

4.4

 

Total

 

$

1,022.5

 

 

 

 

$

18.2

 

 

 

 

$

9.8

 

At December 31, 2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate contracts

 

$

550.0

 

 

Other current assets

 

$

—

 

 

Accrued compensation and other current liabilities

 

$

54.5

 

 

 

 

 

 

 

Other noncurrent assets

 

 

—

 

 

Other noncurrent liabilities

 

 

10.9

 

Foreign exchange contracts (1)

 

 

48.6

 

 

Other current assets

 

 

5.9

 

 

Accrued compensation and other current liabilities

 

 

0.6

 

 

 

 

 

 

 

Other noncurrent assets

 

 

7.8

 

 

Other noncurrent liabilities

 

 

3.3

 

Total

 

$

598.6

 

 

 

 

$

13.7

 

 

 

 

$

69.3

 

 

(1)

Included within foreign exchange contracts at September 30, 2021 were $365.8 million of call options, offset with $365.8 million of put options, and $12.1 million of buy forwards, offset with $34.6 million of sell forwards.  Included within foreign exchange contracts at December 31, 2020 were $354.7 million of call options, offset with $354.7 million of put options, and $9.0 million of buy forwards, offset with $57.6 million of sell forwards.

 


 

The effect of cash flow hedge accounting on accumulated other comprehensive loss for the three and nine-month periods ended September 30, 2021 and 2020 were as follows (in millions):

 

 

 

 

 

 

 

 

 

 

 

Amount of

 

 

 

 

 

 

 

 

 

Amount of

 

 

Gain (Loss)

 

 

 

 

 

 

 

 

 

Loss

 

 

Recognized

 

 

 

 

 

Amount of

 

 

Reclassified

 

 

in Earnings

 

 

 

 

 

Gain (Loss)

 

 

from

 

 

Related to

 

 

 

 

 

Recognized in

 

 

Accumulated

 

 

Amount

 

 

 

 

 

Accumulated

 

 

Other

 

 

Excluded

 

 

 

 

 

Other

 

 

Comprehensive

 

 

from

 

 

 

 

 

Comprehensive

 

 

Loss into

 

 

Effectiveness

 

 

Statement of Earnings

Instrument

 

Loss (1)

 

 

Earnings

 

 

Testing

 

 

Classification

Three-month period ended September 30, 2021

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate contracts

 

$

11.2

 

 

$

(0.3

)

 

$

—

 

 

Interest expense

Foreign exchange contracts

 

 

(5.6

)

 

 

(0.4

)

 

 

0.2

 

 

Commission revenue

 

 

 

 

 

 

 

(0.1

)

 

 

0.2

 

 

Compensation expense

 

 

 

 

 

 

 

(0.2

)

 

 

0.1

 

 

Operating expense

Total

 

$

5.6

 

 

$

(1.0

)

 

$

0.5

 

 

 

Three-month period ended September 30, 2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate contracts

 

$

3.4

 

 

$

(0.3

)

 

$

—

 

 

Interest expense

Foreign exchange contracts

 

 

7.0

 

 

 

(0.4

)

 

 

(0.1

)

 

Commission revenue

 

 

 

 

 

 

 

(0.4

)

 

 

0.4

 

 

Compensation expense

 

 

 

 

 

 

 

(0.3

)

 

 

0.4

 

 

Operating expense

Total

 

$

10.4

 

 

$

(1.4

)

 

$

0.7

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine-month period ended September 30, 2021

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate contracts

 

$

45.3

 

 

$

(0.9

)

 

$

—

 

 

Interest expense

Foreign exchange contracts

 

 

(11.7

)

 

 

(2.7

)

 

 

—

 

 

Commission revenue

 

 

 

 

 

 

 

(0.6

)

 

 

0.8

 

 

Compensation expense

 

 

 

 

 

 

 

(0.5

)

 

 

0.6

 

 

Operating expense

Total

 

$

33.6

 

 

$

(4.7

)

 

$

1.4

 

 

 

Nine-month period ended September 30, 2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate contracts

 

$

(104.7

)

 

$

(0.9

)

 

$

—

 

 

Interest expense

Foreign exchange contracts

 

 

(10.3

)

 

 

(0.9

)

 

 

(0.4

)

 

Commission revenue

 

 

 

 

 

 

 

(1.2

)

 

 

1.0

 

 

Compensation expense

 

 

 

 

 

 

 

(0.9

)

 

 

0.8

 

 

Operating expense

Total

 

$

(115.0

)

 

$

(3.9

)

 

$

1.4

 

 

 

 

(1)

For the three and nine-month periods ended September 30, 2021, the amount excluded from the assessment of hedge effectiveness for our foreign exchange contracts recognized in accumulated other comprehensive loss was a loss of zero and $1.2 million, respectively.  For the three and nine-month periods ended September 30, 2020, the amount excluded from the assessment of hedge effectiveness for our foreign exchange contracts recognized in accumulated other comprehensive loss was a loss of $0.4 million and $0.8 million, respectively.

We estimate that approximately $8.1 million of pretax loss currently included within accumulated other comprehensive loss will be reclassified into earnings in the next twelve months.  
v3.21.2
Commitments, Contingencies and Off-Balance Sheet Arrangements
 9 Months Ended
Sep. 30, 2021
Commitments And Contingencies Disclosure [Abstract]  
Commitments, Contingencies and Off-Balance Sheet Arrangements

14.  Commitments, Contingencies and Off-Balance Sheet Arrangements

In connection with our investing and operating activities, we have entered into certain contractual obligations and commitments.  Our future minimum cash payments, including interest, associated with our contractual obligations pursuant to the Senior Notes, Note purchase agreements, Credit Agreement, Premium Financing Debt Facility, operating leases and purchase obligations at September 30, 2021 were as follows (in millions):

 

  

 

Payments Due by Period

 

Contractual Obligations

 

2021

 

 

2022

 

 

2023

 

 

2024

 

 

2025

 

 

Thereafter

 

 

Total

 

Senior Notes

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

850.0

 

 

$

850.0

 

Note purchase agreements

 

 

—

 

 

 

200.0

 

 

 

250.0

 

 

 

475.0

 

 

 

200.0

 

 

 

3,323.0

 

 

 

4,448.0

 

Credit Agreement

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Premium Financing Debt Facility

 

 

234.1

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

234.1

 

Interest on debt

 

 

59.9

 

 

 

217.7

 

 

 

208.7

 

 

 

192.0

 

 

 

177.4

 

 

 

1,406.9

 

 

 

2,262.6

 

Total debt obligations

 

 

294.0

 

 

 

417.7

 

 

 

458.7

 

 

 

667.0

 

 

 

377.4

 

 

 

5,579.9

 

 

 

7,794.7

 

Operating lease obligations

 

 

21.8

 

 

 

102.0

 

 

 

81.9

 

 

 

59.5

 

 

 

45.5

 

 

 

88.2

 

 

 

398.9

 

Less sublease arrangements

 

 

(0.3

)

 

 

(0.8

)

 

 

(0.6

)

 

 

(0.3

)

 

 

(0.2

)

 

 

(0.5

)

 

 

(2.7

)

Outstanding purchase obligations

 

 

33.5

 

 

 

68.9

 

 

 

47.3

 

 

 

30.7

 

 

 

22.9

 

 

 

37.4

 

 

 

240.7

 

Total contractual obligations

 

$

349.0

 

 

$

587.8

 

 

$

587.3

 

 

$

756.9

 

 

$

445.6

 

 

$

5,705.0

 

 

$

8,431.6

 

 

The amounts presented in the table above may not necessarily reflect our actual future cash funding requirements, because the actual timing of the future payments made may vary from the stated contractual obligation.

Senior Notes, Note Purchase Agreements, Credit Agreement and Premium Financing Debt Facility - See Note 7 to these unaudited consolidated financial statements for a summary of the amounts outstanding under the Senior Notes, Note purchase agreements, the Credit Agreement and Premium Financing Debt Facility.  On July 29, 2021, we exercised the special option redemption feature for the 2031 Senior Notes (which is described in further detail in Note 7).  These notes were redeemed on August 13, 2021.

Operating Lease Obligations - Our corporate segment’s executive offices and certain subsidiary and branch facilities of our brokerage and risk management segments are located in a building we own at 2850 Golf Road, Rolling Meadows, Illinois, where we have approximately 360,000 square feet of space and will accommodate approximately 2,000 employees at peak pre-pandemic capacity.

We generally operate in leased premises at our other locations.  Certain of these leases have options permitting renewals for additional periods.  In addition to minimum fixed rentals, a number of leases contain annual escalation clauses which are generally related to increases in an inflation index.

We have leased certain office space to several non-affiliated tenants under operating sublease arrangements.  In the normal course of business, we expect that certain of these leases will not be renewed or replaced.  We adjust charges for real estate taxes and common area maintenance annually based on actual expenses, and we recognize the related revenues in the year in which the expenses are incurred.  These amounts are not included in the minimum future rentals to be received in the contractual obligations table above.

Outstanding Purchase Obligations - We typically do not have a material amount of outstanding purchase obligations at any point in time.  The amount disclosed in the contractual obligations table above represents the aggregate amount of unrecorded purchase obligations that we had outstanding at September 30, 2021. These obligations represent agreements to purchase goods or services that were executed in the normal course of business.

Off-Balance Sheet Commitments - Our total unrecorded commitments associated with outstanding letters of credit, financial guarantees and funding commitments as of September 30, 2021 were as follows (in millions):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

 

 

Amount of Commitment Expiration by Period

 

 

Amounts

 

Off-Balance Sheet Commitments

 

2021

 

 

2022

 

 

2023

 

 

2024

 

 

2025

 

 

Thereafter

 

 

Committed

 

Letters of credit

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

15.1

 

 

$

15.1

 

Financial guarantees

 

 

0.3

 

 

 

1.4

 

 

 

1.5

 

 

 

2.3

 

 

 

0.2

 

 

 

0.2

 

 

 

5.9

 

Funding commitments

 

 

0.5

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

0.5

 

Total commitments

 

$

0.8

 

 

$

1.4

 

 

$

1.5

 

 

$

2.3

 

 

$

0.2

 

 

$

15.3

 

 

$

21.5

 

 

 

Since commitments may expire unused, the amounts presented in the table above do not necessarily reflect our actual future cash funding requirements.  See the Off‑Balance Sheet Debt section below for a discussion of our letters of credit.  All of the letters of credit represent multiple year commitments that have annual, automatic renewing provisions and are classified by the latest commitment date.  

Since January 1, 2002, we have acquired 602 companies, all of which were accounted for using the acquisition method for recording business combinations.  Substantially all of the purchase agreements related to these acquisitions contain provisions for potential earnout obligations.  For all of our acquisitions made in the period from 2017 to 2021 that contain potential earnout obligations, such obligations are measured at fair value as of the acquisition date and are included on that basis in the recorded purchase price consideration for the respective acquisition.  The amounts recorded as earnout payables are primarily based upon estimated future potential operating results of the acquired entities over a two- to three-year period subsequent to the acquisition date.  The aggregate amount of the maximum earnout obligations related to these acquisitions was $1,026.1 million, of which $578.7 million was recorded in our consolidated balance sheet as of September 30, 2021 based on the estimated fair value of the expected future payments to be made, of which approximately $560.5 million can be settled in cash or stock at our option and $18.2 million must be settled in cash.  

Off-Balance Sheet Debt - Our unconsolidated investment portfolio includes investments in enterprises where our ownership interest is between 1% and 50%, in which management has determined that our level of influence and economic interest is not sufficient to require consolidation.  As a result, these investments are accounted for under the equity method.  None of these unconsolidated investments had any outstanding debt at September 30, 2021 or December 31, 2020, that was recourse to us.

At September 30, 2021, we had posted two letters of credit totaling $9.4 million, in the aggregate, related to our self‑insurance deductibles, for which we had a recorded liability of $18.7 million.  We have an equity investment in a rent-a-captive facility, which we use as a placement facility for certain of our insurance brokerage operations.  At September 30, 2021, we had posted six letters of credit totaling $4.3 million to allow certain of our captive operations to meet minimum statutory surplus requirements plus additional collateral related to premium and claim funds held in a fiduciary capacity, one letter of credit totaling $0.9 million for collateral related to claim funds held in a fiduciary capacity by a recent acquisition, and one letter of credit totaling $0.5 million as a security deposit for a 2015 acquisition’s lease.  These letters of credit have never been drawn upon.

Litigation, Regulatory and Taxation Matters - We are a defendant in various legal actions incidental to the nature of our business including but not limited to matters related to employment practices, alleged breaches of non‑compete or other restrictive covenants, theft of trade secrets, breaches of fiduciary duties and related causes of action.  We are also periodically the subject of inquiries, investigations and reviews by regulatory and taxing authorities into various matters related to our business, including our operational, compliance and finance functions.  Neither the outcomes of these matters nor their effect upon our business, financial condition or results of operations can be determined at this time.

In July 2019, Midwest Energy Emissions Corp. and MES Inc. (which we refer to together as Midwest Energy) filed a patent infringement lawsuit in the United States District Court for the District of Delaware against us, Chem‑Mod LLC and numerous other related and unrelated parties.  The complaint alleges that the named defendants’ infringe patents held exclusively by Midwest Energy and seeks unspecified damages and injunctive relief.  The case is in discovery.  We continue to defend this matter vigorously.  Litigation is inherently uncertain and it is not possible for us to predict the ultimate outcome of this matter and the financial impact to us.  We believe the probability of a material loss is remote.

As previously disclosed, our IRC 831(b) (or “micro-captive”) advisory services business has been under audit by the IRS since 2013. Among other matters, the IRS is investigating whether we have been acting as a tax shelter promoter in connection with these operations. Additionally, the IRS is conducting a criminal investigation related to IRC 831(b) micro-captive underwriting enterprises. We have been advised that we are not a target of the criminal investigation. We are fully cooperating with both matters. While we are not able to reasonably estimate the amount of any potential loss in connection with these matters, we do not expect any such loss to be material.

Contingent Liabilities - We purchase insurance to provide protection from errors and omissions (which we refer to as E&O) claims that may arise during the ordinary course of business.  Currently we retain the first $15.0 million of every E&O claim up to $15.0 million.  In addition, we retain, in aggregate: up to another $2.0 million between $15.0 million and $100.0 million, plus up to another $20.0 million between $100.0 million and $225.0 million, and up to another $10.0 million between $225.0 million and $365.0  million. We have historically maintained self-insurance reserves for the portion of our E&O exposure that is not insured.  We periodically determine a range of possible reserve levels using actuarial techniques that rely heavily on projecting historical claim data into the future.  Our E&O reserve in the September 30, 2021 consolidated balance sheet is above the lower end of the most recently determined actuarial range by $2.8 million and below the upper end of the actuarial range by $7.4 million.  In addition to this E&O reserve, in the nine-month period ended September 30, 2021, we established provisions for potential unusual pandemic related claim defense and other costs.  We can make no assurances that the historical claim data used to project the current reserve levels will be indicative of future claim activity.  Thus, the E&O reserve level and corresponding actuarial range could change in the future as more information becomes known, which could materially impact the amounts reported and disclosed herein.

Tax-advantaged Investments No Longer Held - Between 1996 and 2007, we developed and then sold portions of our ownership in various energy related investments, many of which qualified for tax credits under IRC Section 29.  We recorded tax benefits in connection with our ownership in these investments.  At September 30, 2021, we had exposure on $108.0 million of previously earned tax credits.  Under the TCJA, a portion of these previously earned tax credits were refunded in 2019 for tax year 2018, according to a specific formula.  Under the Coronavirus Aid, Relief, and Economic Security Act (the CARES Act), which was passed on March 27, 2020, we accelerated the refund of all remaining credits on April 17, 2020, and the remaining credits were refunded to us in the second quarter of 2020.  In 2004, 2007 and 2009, the IRS examined several of these investments and all examinations were closed without any changes being proposed by the IRS.  However, any future adverse tax audits, administrative rulings or judicial decisions could disallow previously claimed tax credits.  

Due to the contingent nature of this exposure and our related assessment of its likelihood, no reserve has been recorded in our September 30, 2021 consolidated balance sheet related to this exposure.
v3.21.2
Supplemental Disclosures of Cash Flow Information
 9 Months Ended
Sep. 30, 2021
Cash And Cash Equivalents [Abstract]  
Supplemental Disclosures of Cash Flow Information

15.  Supplemental Disclosures of Cash Flow Information

 

 

 

Nine-month period ended September 30,

 

Supplemental disclosures of cash flow information (in millions):

 

2021

 

 

2020

 

Interest paid

 

$

150.4

 

 

$

144.8

 

Income taxes paid, net

 

 

235.2

 

 

 

65.6

 

 

 

The following is a reconciliation of our end of period cash, cash equivalents and restricted cash balances as presented in the consolidated statement of cash flows for the nine-month periods ended September 30, 2021 and 2020 (in millions):

 

 

 

September 30,

 

 

 

2021

 

 

2020

 

Cash and cash equivalents

 

$

2,735.1

 

 

$

629.9

 

Restricted cash

 

 

3,277.2

 

 

 

2,844.9

 

Total cash, cash equivalents and restricted cash

 

$

6,012.3

 

 

$

3,474.8

 

 

We have a qualified contributory savings and thrift 401(k) plan covering the majority of our domestic employees.  For eligible employees who have met the plan’s age and service requirements to receive matching contributions, we historically have matched 100% of pre-tax and Roth elective deferrals up to a maximum of 5.0% of eligible compensation, subject to federal limits on plan contributions and not in excess of the maximum amount deductible for federal income tax purposes.  Beginning with the match paid in 2021, the amount matched by the company will be discretionary and annually determined by management.  Employees must be employed and eligible for the plan on the last day of the plan year to receive a matching contribution, subject to certain exceptions enumerated in the plan document.  Matching contributions are subject to a five-year graduated vesting schedule and can be funded in cash or company stock.  We expensed (net of plan forfeitures) $51.8 million and $45.9 million related to the plan in the nine-month periods ended September 30, 2021 and 2020, respectively.  Our board of directors authorized the use of common stock to fund our 2020 employer matching contributions to the 401(k) plan, which we funded in February 2021.  During second quarter 2021, our board of directors authorized a 5.0% employer match on eligible compensation to the 401(k) plan for the 2021 plan year and the possible use of common stock to fund our 2021 employer matching contributions, which is expected to be funded in February 2022.

 

 
v3.21.2
Accumulated Other Comprehensive Loss
 9 Months Ended
Sep. 30, 2021
Equity [Abstract]  
Accumulated Other Comprehensive Loss

16.  Accumulated Other Comprehensive Loss

The after-tax components of our accumulated other comprehensive loss attributable to controlling interests consist of the following:  

 

 

 

 

 

 

 

Foreign

 

 

Fair Value of

 

 

Accumulated

 

 

 

Pension

 

 

Currency

 

 

Derivative

 

 

Comprehensive

 

 

 

Liability

 

 

Translation

 

 

Investments

 

 

Loss

 

Balance as of December 31, 2020

 

$

(56.1

)

 

$

(491.1

)

 

$

(96.4

)

 

$

(643.6

)

Net change in period

 

 

1.7

 

 

 

(9.7

)

 

 

28.4

 

 

 

20.4

 

Balance as of September 30, 2021

 

$

(54.4

)

 

$

(500.8

)

 

$

(68.0

)

 

$

(623.2

)

 

The foreign currency translation during the nine-month period ended September 30, 2021 primarily relates to the net impact of changes in the value of the local currencies relative to the U.S. dollar for our operations in the U.K., Australia, Canada, New Zealand, the Caribbean, India and other non-U.S. locations.  

During the nine-month periods ended September 30, 2021 and 2020, $4.3 million and $4.6 million, respectively, of expense related to the pension liability was reclassified from accumulated other comprehensive loss to compensation expense in the statement of earnings.  During the nine-month periods ended September 30, 2021 and 2020, $4.7 million and $3.9 million of expense, respectively, related to the fair value of derivative investments, was reclassified from accumulated other comprehensive loss to the statement of earnings.  During the nine-month periods ended September 30, 2021 and 2020, no amounts related to foreign currency translation were reclassified from accumulated other comprehensive loss to the statement of earnings.  
v3.21.2
Segment Information
 9 Months Ended
Sep. 30, 2021
Segment Reporting [Abstract]  
Segment Information

17.  Segment Information

We have three reportable segments: brokerage, risk management and corporate.  

The brokerage segment is primarily comprised of our retail and wholesale insurance brokerage operations.  The brokerage segment generates revenues through commissions paid by underwriting enterprises and through fees charged to our clients.  Our brokers, agents and administrators act as intermediaries between underwriting enterprises and our clients and we do not assume net underwriting risks.

The risk management segment provides contract claim settlement and administration services for enterprises and public entities that choose to self-insure some or all of their property/casualty coverages and for underwriting enterprises that choose to outsource some or all of their property/casualty claims departments. These operations also provide claims management, loss control consulting and insurance property appraisal services.  Revenues are principally generated on a negotiated per-claim or per-service fee basis.  Our risk management segment also provides risk management consulting services that are recognized as the services are delivered.

The corporate segment manages our clean energy and other investments.  In addition, the corporate segment reports the financial information related to our debt and other corporate costs, external acquisition-related expenses and the impact of foreign currency translation.  

Allocations of investment income and certain expenses are based on reasonable assumptions and estimates primarily using revenue, headcount and other information.  We allocate the provision for income taxes to the brokerage and risk management segments using the local country statutory rates.  Reported operating results by segment would change if different methods were applied.

Financial information relating to our segments for the three and nine-month periods ended September 30, 2021 and 2020 is as follows (in millions):

 

 

Three-month period ended

September 30,

 

 

Nine-month period ended

September 30,

 

 

2021

 

 

2020

 

 

2021

 

 

2020

 

Brokerage

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total revenues

$

1,499.7

 

 

$

1,294.6

 

 

$

4,500.1

 

 

$

3,931.3

 

Earnings before income taxes

$

334.5

 

 

$

276.4

 

 

$

1,114.5

 

 

$

935.0

 

Identifiable assets at September 30, 2021 and 2020

 

 

 

 

 

 

 

 

$

21,184.7

 

 

$

18,641.2

 

Risk Management

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total revenues

$

280.6

 

 

$

244.3

 

 

$

815.0

 

 

$

717.0

 

Earnings before income taxes

$

29.5

 

 

$

25.3

 

 

$

87.0

 

 

$

64.1

 

Identifiable assets at September 30, 2021 and 2020

 

 

 

 

 

 

 

 

$

1,079.7

 

 

$

964.5

 

Corporate

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total revenues

$

357.9

 

 

$

310.2

 

 

$

921.6

 

 

$

651.7

 

Loss before income taxes

$

(132.6

)

 

$

(92.2

)

 

$

(339.4

)

 

$

(261.9

)

Identifiable assets at September 30, 2021 and 2020

 

 

 

 

 

 

 

 

$

4,651.4

 

 

$

2,209.2

 

Total

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total revenues

$

2,138.2

 

 

$

1,849.1

 

 

$

6,236.7

 

 

$

5,300.0

 

Earnings before income taxes

$

231.4

 

 

$

209.5

 

 

$

862.1

 

 

$

737.2

 

Identifiable assets at September 30, 2021 and 2020

 

 

 

 

 

 

 

 

$

26,915.8

 

 

$

21,814.9

 

 

Disaggregation of Revenue

We disaggregate our revenue from contracts with clients by type and geographic location for each of our segments, as we believe it best depicts how the nature, amount, timing and uncertainty of our revenue and cash flows are affected by economic factors.

Revenues by type and segment for the three-month period ended September 30, 2021 are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commissions

 

$

1,016.2

 

 

$

—

 

 

$

—

 

 

$

1,016.2

 

Fees

 

 

353.8

 

 

 

247.9

 

 

 

—

 

 

 

601.7

 

Supplemental revenues

 

 

61.0

 

 

 

—

 

 

 

—

 

 

 

61.0

 

Contingent revenues

 

 

43.7

 

 

 

—

 

 

 

—

 

 

 

43.7

 

Investment income

 

 

20.7

 

 

 

0.1

 

 

 

—

 

 

 

20.8

 

Net gains on divestitures

 

 

4.3

 

 

 

—

 

 

 

—

 

 

 

4.3

 

Revenues from clean coal activities

 

 

—

 

 

 

—

 

 

 

357.6

 

 

 

357.6

 

Other net revenues

 

 

—

 

 

 

—

 

 

 

0.3

 

 

 

0.3

 

Revenues before reimbursements

 

 

1,499.7

 

 

 

248.0

 

 

 

357.9

 

 

 

2,105.6

 

Reimbursements

 

 

—

 

 

 

32.6

 

 

 

—

 

 

 

32.6

 

Total revenues

 

$

1,499.7

 

 

$

280.6

 

 

$

357.9

 

 

$

2,138.2

 

 

 

 

Revenues by type and segment for the nine-month period ended September 30, 2021 are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commissions

 

$

3,118.7

 

 

$

—

 

 

$

—

 

 

$

3,118.7

 

Fees

 

 

983.4

 

 

 

713.0

 

 

 

—

 

 

 

1,696.4

 

Supplemental revenues

 

 

183.0

 

 

 

—

 

 

 

—

 

 

 

183.0

 

Contingent revenues

 

 

150.3

 

 

 

—

 

 

 

—

 

 

 

150.3

 

Investment income

 

 

55.8

 

 

 

0.2

 

 

 

—

 

 

 

56.0

 

Net gains on divestitures

 

 

8.9

 

 

 

0.1

 

 

 

—

 

 

 

9.0

 

Revenues from clean coal activities

 

 

—

 

 

 

—

 

 

 

919.2

 

 

 

919.2

 

Other net revenues

 

 

—

 

 

 

—

 

 

 

2.4

 

 

 

2.4

 

Revenues before reimbursements

 

 

4,500.1

 

 

 

713.3

 

 

 

921.6

 

 

 

6,135.0

 

Reimbursements

 

 

—

 

 

 

101.7

 

 

 

—

 

 

 

101.7

 

Total revenues

 

$

4,500.1

 

 

$

815.0

 

 

$

921.6

 

 

$

6,236.7

 

 

 

Revenues by geographical location and segment for the three-month period ended September 30, 2021 are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

1,000.3

 

 

$

233.9

 

 

$

357.9

 

 

$

1,592.1

 

United Kingdom

 

 

276.5

 

 

 

12.1

 

 

 

—

 

 

 

288.6

 

Australia

 

 

62.4

 

 

 

29.6

 

 

 

—

 

 

 

92.0

 

Canada

 

 

68.1

 

 

 

1.6

 

 

 

—

 

 

 

69.7

 

New Zealand

 

 

41.0

 

 

 

3.4

 

 

 

—

 

 

 

44.4

 

Other foreign

 

 

51.4

 

 

 

—

 

 

 

—

 

 

 

51.4

 

Total revenues

 

$

1,499.7

 

 

$

280.6

 

 

$

357.9

 

 

$

2,138.2

 

 

 

Revenues by geographical location and segment for the nine-month period ended September 30, 2021 are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

2,919.3

 

 

$

672.9

 

 

$

921.6

 

 

$

4,513.8

 

United Kingdom

 

 

895.0

 

 

 

35.0

 

 

 

—

 

 

 

930.0

 

Australia

 

 

187.1

 

 

 

91.6

 

 

 

—

 

 

 

278.7

 

Canada

 

 

215.5

 

 

 

4.4

 

 

 

—

 

 

 

219.9

 

New Zealand

 

 

118.9

 

 

 

11.1

 

 

 

—

 

 

 

130.0

 

Other foreign

 

 

164.3

 

 

 

—

 

 

 

—

 

 

 

164.3

 

Total revenues

 

$

4,500.1

 

 

$

815.0

 

 

$

921.6

 

 

$

6,236.7

 

 

 

Revenues by type and segment for the three-month period ended September 30, 2020 are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commissions

 

$

889.9

 

 

$

—

 

 

$

—

 

 

$

889.9

 

Fees

 

 

293.2

 

 

 

202.6

 

 

 

—

 

 

 

495.8

 

Supplemental revenues

 

 

54.7

 

 

 

—

 

 

 

—

 

 

 

54.7

 

Contingent revenues

 

 

34.5

 

 

 

—

 

 

 

—

 

 

 

34.5

 

Investment income

 

 

18.9

 

 

 

0.1

 

 

 

—

 

 

 

19.0

 

Net gains on divestitures

 

 

3.4

 

 

 

—

 

 

 

—

 

 

 

3.4

 

Revenues from clean coal activities

 

 

—

 

 

 

—

 

 

 

310.8

 

 

 

310.8

 

Other net losses

 

 

—

 

 

 

—

 

 

 

(0.6

)

 

 

(0.6

)

Revenues before reimbursements

 

 

1,294.6

 

 

 

202.7

 

 

 

310.2

 

 

 

1,807.5

 

Reimbursements

 

 

—

 

 

 

41.6

 

 

 

—

 

 

 

41.6

 

Total revenues

 

$

1,294.6

 

 

$

244.3

 

 

$

310.2

 

 

$

1,849.1

 

 

 

Revenues by type and segment for the nine-month period ended September 30, 2020 are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commissions

 

$

2,734.6

 

 

$

—

 

 

$

—

 

 

$

2,734.6

 

Fees

 

 

858.1

 

 

 

604.7

 

 

 

—

 

 

 

1,462.8

 

Supplemental revenues

 

 

164.0

 

 

 

—

 

 

 

—

 

 

 

164.0

 

Contingent revenues

 

 

117.0

 

 

 

—

 

 

 

—

 

 

 

117.0

 

Investment income

 

 

53.0

 

 

 

0.6

 

 

 

—

 

 

 

53.6

 

Net gains on divestitures

 

 

4.6

 

 

 

—

 

 

 

—

 

 

 

4.6

 

Revenues from clean coal activities

 

 

—

 

 

 

—

 

 

 

652.1

 

 

 

652.1

 

Other net losses

 

 

—

 

 

 

—

 

 

 

(0.4

)

 

 

(0.4

)

Revenues before reimbursements

 

 

3,931.3

 

 

 

605.3

 

 

 

651.7

 

 

 

5,188.3

 

Reimbursements

 

 

—

 

 

 

111.7

 

 

 

—

 

 

 

111.7

 

Total revenues

 

$

3,931.3

 

 

$

717.0

 

 

$

651.7

 

 

$

5,300.0

 

 

 

Revenues by geographical location and segment for the three-month period ended September 30, 2020 are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

866.6

 

 

$

203.9

 

 

$

310.2

 

 

$

1,380.7

 

United Kingdom

 

 

230.8

 

 

 

9.8

 

 

 

—

 

 

 

240.6

 

Australia

 

 

56.6

 

 

 

26.2

 

 

 

—

 

 

 

82.8

 

Canada

 

 

57.1

 

 

 

1.4

 

 

 

—

 

 

 

58.5

 

New Zealand

 

 

37.0

 

 

 

3.0

 

 

 

—

 

 

 

40.0

 

Other foreign

 

 

46.5

 

 

 

—

 

 

 

—

 

 

 

46.5

 

Total revenues

 

$

1,294.6

 

 

$

244.3

 

 

$

310.2

 

 

$

1,849.1

 

 

 

Revenues by geographical location and segment for the nine-month period ended September 30, 2020 are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

2,613.3

 

 

$

602.2

 

 

$

651.7

 

 

$

3,867.2

 

United Kingdom

 

 

746.2

 

 

 

29.4

 

 

 

—

 

 

 

775.6

 

Australia

 

 

156.6

 

 

 

72.5

 

 

 

—

 

 

 

229.1

 

Canada

 

 

171.5

 

 

 

3.9

 

 

 

—

 

 

 

175.4

 

New Zealand

 

 

103.0

 

 

 

9.0

 

 

 

—

 

 

 

112.0

 

Other foreign

 

 

140.7

 

 

 

—

 

 

 

—

 

 

 

140.7

 

Total revenues

 

$

3,931.3

 

 

$

717.0

 

 

$

651.7

 

 

$

5,300.0

 

 

 
v3.21.2
Summary of Significant Accounting Policies (Policies)
 9 Months Ended
Sep. 30, 2021
Accounting Policies [Abstract]  
Nature of Operations and Basis of Presentation

Nature of Operations and Basis of Presentation

Arthur J. Gallagher & Co. and its subsidiaries, collectively referred to herein as we, our, us or the company, provide insurance brokerage, consulting and third party claims settlement and administration services to both domestic and international entities. We have three reportable segments: brokerage, risk management and corporate.  Our brokers, agents and administrators act as intermediaries between underwriting enterprises and our clients.

Our brokerage segment operations provide brokerage and consulting services to companies and entities of all types, including commercial, not-for-profit, public entities, and, to a lesser extent, individuals, in the areas of insurance placement, risk of loss management, and management of employer sponsored benefit programs.  Our risk management segment operations provide contract claim settlement, claim administration, loss control services and risk management consulting for commercial, not-for-profit, captive and public entities, and various other organizations that choose to self-insure property/casualty coverages or choose to use a third‑party claims management organization rather than the claim services provided by underwriting enterprises.  The corporate segment reports the financial information related to our debt and other corporate costs, clean energy investments, external acquisition‑related expenses and the impact of foreign currency translation.  Clean energy investments consist of our investments in limited liability companies that own 35 commercial clean coal production facilities that can produce refined coal using Chem-Mod LLC’s proprietary technologies.  We believe these operations produce refined coal that qualifies for tax credits under IRC Section 45.  

We do not assume underwriting risk on a net basis, other than with respect to de minimis amounts necessary to provide minimum or regulatory capital to organize captives, pools, specialized underwriters or risk-retention groups.  Rather, capital necessary for covering losses is provided by underwriting enterprises.

Investment income and other revenues are primarily generated from our premium financing operations, our invested cash and restricted cash we hold on behalf of our clients, as well as clean energy investments.  In addition, our share of the net earnings related to partially owned entities that are accounted for using the equity method is included in investment income.

We are headquartered in Rolling Meadows, Illinois, have operations in 57 countries and offer client-service capabilities in more than 150 countries globally through a network of correspondent insurance brokers and consultants.

We have prepared the accompanying unaudited consolidated financial statements pursuant to the rules and regulations of the Securities and Exchange Commission.  Certain information and footnote disclosures normally included in annual financial statements have been omitted pursuant to such rules and regulations.  The unaudited consolidated financial statements included herein are, in the opinion of management, prepared on a basis consistent with our audited consolidated financial statements for the year ended December 31, 2020, and include all normal recurring adjustments necessary for a fair presentation of the information set forth.  The quarterly results of operations are not necessarily indicative of the results of operations to be reported for subsequent quarters or the full year.  These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and the notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2020.  In the preparation of our unaudited consolidated financial statements as of September 30, 2021, management evaluated all material subsequent events or transactions that occurred after the balance sheet date through the date on which the financial statements were issued, for potential recognition and/or disclosure therein.

Use of Estimates

Use of Estimates

The preparation of our consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes.  These accounting principles require us to make estimates and assumptions that affect the reported amounts of assets and liabilities and revenues and expenses, and the disclosure of contingent assets and liabilities at the date of our consolidated financial statements.  We periodically evaluate our estimates and assumptions, including those relating to the valuation of goodwill and other intangible assets, right-of-use assets, investments (including our IRC Section 45 investments), income taxes, revenue recognition, deferred costs, stock-based compensation, claims handling obligations, retirement plans, litigation and contingencies.  We base our estimates on historical experience and various assumptions that we believe to be reasonable based on specific circumstances.  Such estimates and assumptions could change in the future as more information becomes known, which could impact the amounts reported and disclosed in the notes herein.
v3.21.2
Business Combinations (Tables)
 9 Months Ended
Sep. 30, 2021
Business Combinations [Abstract]  
Acquisition Method for Recording Business Combinations

During the nine-month period ended September 30, 2021, we acquired substantially all of the net assets of the following firms in exchange for our common stock and/or cash.  These acquisitions have been accounted for using the acquisition method for recording business combinations (in millions, except share data):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

 

Maximum

 

 

 

Common

 

 

Common

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Recorded

 

 

Recorded

 

 

Potential

 

Name and Effective

 

Shares

 

 

Share

 

 

 

 

 

 

Accrued

 

 

Escrow

 

 

Earnout

 

 

Purchase

 

 

Earnout

 

Date of Acquisition

 

Issued

 

 

Value

 

 

Cash Paid

 

 

Liability

 

 

Deposited

 

 

Payable

 

 

Price

 

 

Payable

 

 

 

(000s)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Atlas General Holdings, LLC

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

January 1, 2021 (AGH)

 

 

—

 

 

$

—

 

 

$

95.2

 

 

$

—

 

 

$

5.4

 

 

$

8.7

 

 

$

109.3

 

 

$

35.0

 

Bollington Wilson Group

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   February 5, 2021 (BWG)

 

 

—

 

 

 

—

 

 

 

328.0

 

 

 

—

 

 

 

1.4

 

 

 

—

 

 

 

329.4

 

 

 

—

 

LDJ American Online

   Benefits Group, LLC

      May 1, 2021 (LDJ)

 

 

—

 

 

 

—

 

 

 

38.2

 

 

 

—

 

 

 

7.1

 

 

 

14.8

 

 

 

60.1

 

 

 

20.0

 

Sixteen other acquisitions

   completed in 2021

 

 

337.0

 

 

 

44.4

 

 

 

157.3

 

 

 

13.1

 

 

 

18.9

 

 

 

34.1

 

 

 

267.8

 

 

 

70.2

 

 

 

 

337.0

 

 

$

44.4

 

 

$

618.7

 

 

$

13.1

 

 

$

32.8

 

 

$

57.6

 

 

$

766.6

 

 

$

125.2

 
Summary of Estimated Fair Values of Net Assets Acquired

The following is a summary of the estimated fair values of the net assets acquired at the date of each acquisition made in the nine‑month period ended September 30, 2021 (in millions):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sixteen Other

 

 

 

 

 

 

 

AGH

 

 

BWG

 

 

LDJ

 

 

Acquisitions

 

 

Total

 

Cash and restricted cash

 

$

32.8

 

 

$

24.9

 

 

$

0.7

 

 

$

11.0

 

 

$

69.4

 

Other current assets

 

 

112.0

 

 

 

15.3

 

 

 

15.8

 

 

 

51.5

 

 

 

194.6

 

Fixed assets

 

 

7.4

 

 

 

3.8

 

 

 

—

 

 

 

0.2

 

 

 

11.4

 

Noncurrent assets

 

 

1.2

 

 

 

5.3

 

 

 

0.2

 

 

 

6.2

 

 

 

12.9

 

Goodwill

 

 

45.9

 

 

 

257.1

 

 

 

25.7

 

 

 

124.8

 

 

 

453.5

 

Expiration lists

 

 

39.7

 

 

 

81.6

 

 

 

25.4

 

 

 

133.2

 

 

 

279.9

 

Non-compete agreements

 

 

0.3

 

 

 

1.2

 

 

 

0.2

 

 

 

2.1

 

 

 

3.8

 

Trade names

 

 

—

 

 

 

3.4

 

 

 

0.2

 

 

 

1.1

 

 

 

4.7

 

Total assets acquired

 

 

239.3

 

 

 

392.6

 

 

 

68.2

 

 

 

330.1

 

 

 

1,030.2

 

Current liabilities

 

 

129.8

 

 

 

39.6

 

 

 

8.0

 

 

 

49.9

 

 

 

227.3

 

Noncurrent liabilities

 

 

0.2

 

 

 

23.6

 

 

 

0.1

 

 

 

12.4

 

 

 

36.3

 

Total liabilities assumed

 

 

130.0

 

 

 

63.2

 

 

 

8.1

 

 

 

62.3

 

 

 

263.6

 

Total net assets acquired

 

$

109.3

 

 

$

329.4

 

 

$

60.1

 

 

$

267.8

 

 

$

766.6

 
Summary of Unaudited Pro Forma Historical Results The following is a summary of the unaudited pro forma historical results, as if these entities had been acquired at January 1, 2020 (in millions, except per share data):

 

Three-month period ended

 

 

Nine-month period ended

 

 

September 30,

 

 

September 30,

 

 

2021

 

 

2020

 

 

2021

 

 

2020

 

Total revenues

$

2,140.7

 

 

$

1,899.6

 

 

$

6,278.4

 

 

$

5,435.7

 

Net earnings attributable to controlling interests

 

225.0

 

 

 

181.6

 

 

 

801.9

 

 

 

685.9

 

Basic net earnings per share

 

1.09

 

 

 

0.94

 

 

 

3.99

 

 

 

3.60

 

Diluted net earnings per share

 

1.06

 

 

 

0.92

 

 

 

3.90

 

 

 

3.52

 

 
v3.21.2
Contracts with Customers (Tables)
 9 Months Ended
Sep. 30, 2021
Revenue From Contract With Customer [Abstract]  
Summary of Unbilled Receivables, Contract Assets and Contract Liabilities from Contracts with Customers

Information about unbilled receivables, contract assets and contract liabilities from contracts with customers is as follows (in millions):

 

 

 

September 30

2021

 

 

December 31,

2020

 

Unbilled receivables

 

$

810.6

 

 

$

603.1

 

Deferred contract costs

 

 

76.3

 

 

 

102.0

 

Deferred revenue

 

 

588.2

 

 

 

541.3

 
Summary of Changes in Deferred Revenue Balances

Significant changes in the deferred revenue balances, which include foreign currency translation adjustments, during the period are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Total

 

Deferred revenue at December 31, 2020

 

$

354.7

 

 

$

186.6

 

 

$

541.3

 

Incremental deferred revenue

 

 

283.3

 

 

 

77.4

 

 

 

360.7

 

Revenue recognized during the nine-month period ended

   September 30, 2021 included in deferred revenue at December 31, 2020

 

 

(256.5

)

 

 

(76.8

)

 

 

(333.3

)

Net change in collected billings/deposits received from customers

 

 

1.5

 

 

 

7.3

 

 

 

8.8

 

Impact of change in foreign exchange rates

 

 

1.0

 

 

 

—

 

 

 

1.0

 

Deferred revenue recognized from business acquisitions

 

 

9.7

 

 

 

—

 

 

 

9.7

 

Deferred revenue at September 30, 2021

 

$

393.7

 

 

$

194.5

 

 

$

588.2

 
Summary of Expected Revenue Related to Performance Obligations The estimated revenue expected to be recognized in the future related to performance obligations that are unsatisfied (or partially unsatisfied) at the end of the reporting period is as follows (in millions):

 

 

 

Brokerage

 

 

Risk

Management

 

 

Total

 

2021 (remaining three months)

 

$

235.6

 

 

$

89.4

 

 

$

325.0

 

2022

 

 

135.8

 

 

 

54.6

 

 

 

190.4

 

2023

 

 

19.3

 

 

 

23.4

 

 

 

42.7

 

2024

 

 

1.5

 

 

 

10.6

 

 

 

12.1

 

2025

 

 

0.8

 

 

 

5.9

 

 

 

6.7

 

Thereafter

 

 

0.7

 

 

 

10.6

 

 

 

11.3

 

Total

 

$

393.7

 

 

$

194.5

 

 

$

588.2

 

 
v3.21.2
Other Financial Data (Tables)
 9 Months Ended
Sep. 30, 2021
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract]  
Summary of Major Classes of Other Current Assets

Major classes of other current assets consist of the following (in millions):

 

 

 

September 30,

2021

 

 

December 31,

2020

 

Premium finance advances and loans

 

$

511.8

 

 

$

442.7

 

Accrued supplemental, direct bill and other receivables

 

 

546.2

 

 

 

361.7

 

Refined coal production related receivables

 

 

108.5

 

 

 

95.4

 

Deferred contract costs

 

 

76.3

 

 

 

102.0

 

Prepaid expenses

 

 

126.7

 

 

 

112.1

 

Total other current assets

 

$

1,369.5

 

 

$

1,113.9

 

 
v3.21.2
Intangible Assets (Tables)
 9 Months Ended
Sep. 30, 2021
Goodwill And Intangible Assets Disclosure [Abstract]  
Carrying Amount of Goodwill Allocated by Domestic and Foreign Operations

The carrying amount of goodwill at September 30, 2021 and December 31, 2020 allocated by domestic and foreign operations is as follows (in millions):

 

 

 

Brokerage

 

 

Risk

Management

 

 

Corporate

 

 

Total

 

At September 30, 2021

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

3,568.9

 

 

$

64.8

 

 

$

—

 

 

$

3,633.7

 

United Kingdom

 

 

1,606.4

 

 

 

15.4

 

 

 

—

 

 

 

1,621.8

 

Canada

 

 

523.0

 

 

 

—

 

 

 

—

 

 

 

523.0

 

Australia

 

 

450.0

 

 

 

11.0

 

 

 

—

 

 

 

461.0

 

New Zealand

 

 

220.5

 

 

 

10.6

 

 

 

—

 

 

 

231.1

 

Other foreign

 

 

154.0

 

 

 

—

 

 

 

2.9

 

 

 

156.9

 

Total goodwill

 

$

6,522.8

 

 

$

101.8

 

 

$

2.9

 

 

$

6,627.5

 

At December 31, 2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

3,399.8

 

 

$

33.2

 

 

$

—

 

 

$

3,433.0

 

United Kingdom

 

 

1,328.3

 

 

 

15.1

 

 

 

—

 

 

 

1,343.4

 

Canada

 

 

492.9

 

 

 

—

 

 

 

—

 

 

 

492.9

 

Australia

 

 

462.1

 

 

 

11.5

 

 

 

—

 

 

 

473.6

 

New Zealand

 

 

221.9

 

 

 

10.7

 

 

 

—

 

 

 

232.6

 

Other foreign

 

 

148.6

 

 

 

—

 

 

 

2.9

 

 

 

151.5

 

Total goodwill

 

$

6,053.6

 

 

$

70.5

 

 

$

2.9

 

 

$

6,127.0

 

 

 
Changes in Carrying Amount of Goodwill

The changes in the carrying amount of goodwill for the nine-month period ended September 30, 2021 are as follows (in millions):

 

 

 

Brokerage

 

 

Risk

Management

 

 

Corporate

 

 

Total

 

Balance as of December 31, 2020

 

$

6,053.6

 

 

$

70.5

 

 

$

2.9

 

 

$

6,127.0

 

Goodwill acquired during the period

 

 

421.9

 

 

 

31.6

 

 

 

—

 

 

 

453.5

 

Goodwill adjustments due to appraisals and other acquisition adjustments

 

 

50.5

 

 

 

—

 

 

 

—

 

 

 

50.5

 

Goodwill written-off related to sales of business and impairment

 

 

(1.0

)

 

 

—

 

 

 

—

 

 

 

(1.0

)

Foreign currency translation adjustments during the period

 

 

(2.2

)

 

 

(0.3

)

 

 

—

 

 

 

(2.5

)

Balance as of September 30, 2021

 

$

6,522.8

 

 

$

101.8

 

 

$

2.9

 

 

$

6,627.5

 

 
Major Classes of Amortizable Intangible Assets

Major classes of amortizable intangible assets at September 30, 2021 and December 31, 2020 consist of the following (in millions):

 

 

 

September 30,

 

 

December 31,

 

 

 

2021

 

 

2020

 

Expiration lists

 

$

4,997.2

 

 

$

4,753.2

 

Accumulated amortization - expiration lists

 

 

(2,727.5

)

 

 

(2,436.7

)

 

 

 

2,269.7

 

 

 

2,316.5

 

Non-compete agreements

 

 

73.5

 

 

 

75.9

 

Accumulated amortization - non-compete agreements

 

 

(61.9

)

 

 

(57.8

)

 

 

 

11.6

 

 

 

18.1

 

Trade names

 

 

105.5

 

 

 

107.8

 

Accumulated amortization - trade names

 

 

(47.8

)

 

 

(42.5

)

 

 

 

57.7

 

 

 

65.3

 

Net amortizable assets

 

$

2,339.0

 

 

$

2,399.9

 
Estimated Aggregate Amortization Expense

Estimated aggregate amortization expense for each of the next five years and thereafter is as follows (in millions):

 

2021 (remaining three months)

 

$

96.0

 

2022

 

 

367.7

 

2023

 

 

342.4

 

2024

 

 

306.1

 

2025

 

 

266.2

 

Thereafter

 

 

960.6

 

Total

 

$

2,339.0

 
v3.21.2
Credit and Other Debt Agreements (Tables)
 9 Months Ended
Sep. 30, 2021
Debt Disclosure [Abstract]  
Summary of Corporate and Other Debt

7.  Credit and Other Debt Agreements

The following is a summary of our corporate and other debt (in millions):

 

September 30,

 

 

December 31,

 

 

 

2021

 

 

2020

 

Senior Notes:

 

 

 

 

 

 

 

 

Semi-annual payments of interest, fixed rate of 3.50%, balloon due May 20, 2051

 

 

850.0

 

 

 

—

 

Total Senior Notes

 

 

850.0

 

 

 

—

 

Note Purchase Agreements:

 

 

 

 

 

 

 

 

Semi-annual payments of interest, fixed rate of 5.18%, balloon due February 10, 2021

 

 

—

 

 

 

75.0

 

Semi-annual payments of interest, fixed rate of 3.69%, balloon due June 14, 2022

 

 

200.0

 

 

 

200.0

 

Semi-annual payments of interest, fixed rate of 5.49%, balloon due February 10, 2023

 

 

50.0

 

 

 

50.0

 

Semi-annual payments of interest, fixed rate of 4.13%, balloon due June 24, 2023

 

 

200.0

 

 

 

200.0

 

Semi-annual payments of interest, fixed rate of 4.72%, balloon due February 13, 2024

 

 

100.0

 

 

 

100.0

 

Semi-annual payments of interest, fixed rate of 4.58%, balloon due February 27, 2024

 

 

325.0

 

 

 

325.0

 

Quarterly payments of interest, floating rate of 90 day LIBOR plus 1.40%, balloon due June 13, 2024

 

 

50.0

 

 

 

50.0

 

Semi-annual payments of interest, fixed rate of 4.31%, balloon due June 24, 2025

 

 

200.0

 

 

 

200.0

 

Semi-annual payments of interest, fixed rate of 4.85%, balloon due February 13, 2026

 

 

140.0

 

 

 

140.0

 

Semi-annual payments of interest, fixed rate of 4.73%, balloon due February 27, 2026

 

 

175.0

 

 

 

175.0

 

Semi-annual payments of interest, fixed rate of 4.40%, balloon due June 2, 2026

 

 

175.0

 

 

 

175.0

 

Semi-annual payments of interest, fixed rate of 4.36%, balloon due June 24, 2026

 

 

150.0

 

 

 

150.0

 

Semi-annual payments of interest, fixed rate of 3.75%, balloon due January 30, 2027

 

 

30.0

 

 

 

30.0

 

Semi-annual payments of interest, fixed rate of 4.09%, balloon due June 27, 2027

 

 

125.0

 

 

 

125.0

 

Semi-annual payments of interest, fixed rate of 4.09%, balloon due August 2, 2027

 

 

125.0

 

 

 

125.0

 

Semi-annual payments of interest, fixed rate of 4.14%, balloon due August 4, 2027

 

 

98.0

 

 

 

98.0

 

Semi-annual payments of interest, fixed rate of 3.46%, balloon due December 1, 2027

 

 

100.0

 

 

 

100.0

 

Semi-annual payments of interest, fixed rate of 4.55%, balloon due June 2, 2028

 

 

75.0

 

 

 

75.0

 

Semi-annual payments of interest, fixed rate of 4.34%, balloon due June 13, 2028

 

 

125.0

 

 

 

125.0

 

Semi-annual payments of interest, fixed rate of 5.04%, balloon due February 13, 2029

 

 

100.0

 

 

 

100.0

 

Semi-annual payments of interest, fixed rate of 4.98%, balloon due February 27, 2029

 

 

100.0

 

 

 

100.0

 

Semi-annual payments of interest, fixed rate of 4.19%, balloon due June 27, 2029

 

 

50.0

 

 

 

50.0

 

Semi-annual payments of interest, fixed rate of 4.19%, balloon due August 2, 2029

 

 

50.0

 

 

 

50.0

 

Semi-annual payments of interest, fixed rate of 3.48%, balloon due December 2, 2029

 

 

50.0

 

 

 

50.0

 

Semi-annual payments of interest, fixed rate of 3.99%, balloon due January 30, 2030

 

 

341.0

 

 

 

341.0

 

Semi-annual payments of interest, fixed rate of 4.44%, balloon due June 13, 2030

 

 

125.0

 

 

 

125.0

 

Semi-annual payments of interest, fixed rate of 5.14%, balloon due March 13, 2031

 

 

180.0

 

 

 

180.0

 

Semi-annual payments of interest, fixed rate of 4.70%, balloon due June 2, 2031

 

 

25.0

 

 

 

25.0

 

Semi-annual payments of interest, fixed rate of 4.09%, balloon due January 30, 2032

 

 

69.0

 

 

 

69.0

 

Semi-annual payments of interest, fixed rate of 4.34%, balloon due June 27, 2032

 

 

75.0

 

 

 

75.0

 

Semi-annual payments of interest, fixed rate of 4.34%, balloon due August 2, 2032

 

 

75.0

 

 

 

75.0

 

Semi-annual payments of interest, fixed rate of 4.59%, balloon due June 13, 2033

 

 

125.0

 

 

 

125.0

 

Semi-annual payments of interest, fixed rate of 5.29%, balloon due March 13, 2034

 

 

40.0

 

 

 

40.0

 

Semi-annual payments of interest, fixed rate of 4.48%, balloon due June 12, 2034

 

 

175.0

 

 

 

175.0

 

Semi-annual payments of interest, fixed rate of 4.24%, balloon due January 30, 2035

 

 

79.0

 

 

 

79.0

 

Semi-annual payments of interest, fixed rate of 2.44%, balloon due February 10, 2036

 

 

100.0

 

 

 

—

 

Semi-annual payments of interest, fixed rate of 2.46%, balloon due May 5, 2036

 

 

75.0

 

 

 

—

 

Semi-annual payments of interest, fixed rate of 4.69%, balloon due June 13, 2038

 

 

75.0

 

 

 

75.0

 

Semi-annual payments of interest, fixed rate of 5.45%, balloon due March 13, 2039

 

 

40.0

 

 

 

40.0

 

Semi-annual payments of interest, fixed rate of 4.49%, balloon due January 30, 2040

 

 

56.0

 

 

 

56.0

 

Total Note Purchase Agreements

 

 

4,448.0

 

 

 

4,348.0

 

Credit Agreement:

 

 

 

 

 

 

 

 

Periodic payments of interest and principal, prime or LIBOR plus up to 1.45%, expires June 7, 2024

 

 

—

 

 

 

—

 

Premium Financing Debt Facility - expires September 15, 2023:

 

 

 

 

 

 

 

 

Facility B

 

 

 

 

 

 

 

 

AUD denominated tranche, interbank rates plus 1.200%

 

 

211.9

 

 

 

193.1

 

NZD denominated tranche, interbank rates plus 1.650%

 

 

—

 

 

 

—

 

Facility C and D

 

 

 

 

 

 

 

 

AUD denominated tranche, interbank rates plus 0.680%

 

 

11.8

 

 

 

—

 

NZD denominated tranche, interbank rates plus 0.940%

 

 

10.4

 

 

 

10.5

 

Total Premium Financing Debt Facility

 

 

234.1

 

 

 

203.6

 

Total corporate and other debt

 

 

5,532.1

 

 

 

4,551.6

 

Less unamortized debt acquisition costs on Senior Notes and Note Purchase Agreements

 

 

(15.6

)

 

 

(7.0

)

Less unamortized discount on Bonds Payable

 

 

(10.0

)

 

 

—

 

Net corporate and other debt

 

$

5,506.5

 

 

$

4,544.6

 
v3.21.2
Earnings Per Share (Tables)
 9 Months Ended
Sep. 30, 2021
Earnings Per Share [Abstract]  
Computation of Basic and Diluted Net EPS

The following table sets forth the computation of basic and diluted net earnings per share (in millions, except per share data):

 

 

Three-month period ended

 

 

Nine-month period ended

 

 

September 30,

 

 

September 30,

 

 

2021

 

 

2020

 

 

2021

 

 

2020

 

Net earnings attributable to controlling interests

$

225.1

 

 

$

176.6

 

 

$

797.4

 

 

$

676.6

 

Weighted average number of common shares outstanding

 

207.0

 

 

 

191.9

 

 

 

201.0

 

 

 

190.4

 

Dilutive effect of stock options using the treasury

   stock method

 

4.5

 

 

 

4.4

 

 

 

4.5

 

 

 

4.1

 

Weighted average number of common and common

   equivalent shares outstanding

 

211.5

 

 

 

196.3

 

 

 

205.5

 

 

 

194.5

 

Basic net earnings per share

$

1.09

 

 

$

0.92

 

 

$

3.97

 

 

$

3.55

 

Diluted net earnings per share

$

1.06

 

 

$

0.90

 

 

$

3.88

 

 

$

3.48

 
v3.21.2
Stock Option Plans (Tables)
 9 Months Ended
Sep. 30, 2021
Text Block [Abstract]  
Black-Scholes Option Pricing Model with Weighted Average

For purposes of expense recognition, the estimated fair values of the stock option grants are amortized to expense over the options’ vesting period.  We estimated the fair value of stock options at the date of grant using the Black-Scholes option pricing model with the following weighted average assumptions:

 

 

 

2021

 

 

2020

 

Expected dividend yield

 

 

1.5

%

 

 

2.1

%

Expected risk-free interest rate

 

 

0.9

%

 

 

0.7

%

Volatility

 

 

22.9

%

 

 

17.3

%

Expected life (in years)

 

 

5.4

 

 

 

5.4

 
Stock Option Activity and Related Information

The following is a summary of our stock option activity and related information for 2021 (in millions, except exercise price and year data):

 

 

 

Nine-month period ended September 30, 2021

 

 

 

 

 

 

 

 

 

 

 

Weighted

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average

 

 

 

 

 

 

 

 

 

 

 

Weighted

 

 

Remaining

 

 

 

 

 

 

 

Shares

 

 

Average

 

 

Contractual

 

 

Aggregate

 

 

 

Under

 

 

Exercise

 

 

Term

 

 

Intrinsic

 

 

 

Option

 

 

Price

 

 

(in years)

 

 

Value

 

Beginning balance

 

 

7.5

 

 

$

65.09

 

 

 

 

 

 

 

 

 

Granted

 

 

1.6

 

 

 

127.90

 

 

 

 

 

 

 

 

 

Exercised

 

 

(1.1

)

 

 

49.30

 

 

 

 

 

 

 

 

 

Forfeited or canceled

 

 

(0.1

)

 

 

86.21

 

 

 

 

 

 

 

 

 

Ending balance

 

 

7.9

 

 

$

80.17

 

 

 

4.05

 

 

$

539.1

 

Exercisable at end of period

 

 

2.3

 

 

$

51.05

 

 

 

1.76

 

 

$

228.0

 

Ending unvested and expected to vest

 

 

5.1

 

 

$

91.53

 

 

 

4.97

 

 

$

293.8

 
Other Information Regarding Stock Options Outstanding and Exercisable

Other information regarding stock options outstanding and exercisable at September 30, 2021 is summarized as follows (in millions, except exercise price and year data):

 

 

 

 

 

 

 

 

 

 

 

Options Outstanding

 

 

Options Exercisable

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Remaining

 

 

Weighted

 

 

 

 

 

 

Weighted

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Contractual

 

 

Average

 

 

 

 

 

 

Average

 

 

 

 

 

 

 

 

 

 

 

Number

 

 

Term

 

 

Exercise

 

 

Number

 

 

Exercise

 

Range of Exercise Prices

 

 

Outstanding

 

 

(in years)

 

 

Price

 

 

Exercisable

 

 

Price

 

$

43.71

 

 

—

 

$

43.71

 

 

 

1.0

 

 

$

1.46

 

 

$

43.71

 

 

 

0.9

 

 

43.71

 

 

46.17

 

 

—

 

 

46.17

 

 

 

0.5

 

 

 

0.44

 

 

 

46.17

 

 

 

0.5

 

 

 

46.17

 

 

49.55

 

 

—

 

 

56.86

 

 

 

1.1

 

 

 

2.46

 

 

 

56.83

 

 

 

0.6

 

 

 

56.81

 

 

70.74

 

 

 

 

 

70.74

 

 

 

1.0

 

 

 

3.46

 

 

 

70.74

 

 

 

0.3

 

 

 

70.74

 

 

79.59

 

 

—

 

 

79.59

 

 

 

1.2

 

 

 

4.45

 

 

 

79.59

 

 

 

—

 

 

 

79.59

 

 

86.17

 

 

—

 

 

86.17

 

 

 

1.5

 

 

 

5.45

 

 

 

86.17

 

 

 

—

 

 

 

86.17

 

 

127.90

 

 

—

 

 

127.90

 

 

 

1.6

 

 

 

6.46

 

 

 

127.90

 

 

 

—

 

 

 

—

 

$

43.71

 

 

—

 

$

127.90

 

 

 

7.9

 

 

 

4.05

 

 

$

80.17

 

 

 

2.3

 

 

$

51.05

 
v3.21.2
Investments (Tables)
 9 Months Ended
Sep. 30, 2021
Equity Method Investments And Joint Ventures [Abstract]  
Investments Reported in Other Current and Non-Current Assets

The following is a summary of our investments included in other noncurrent assets in the consolidated balance sheet and the related funding commitments (in millions):

 

 

September 30,

2021

 

 

December 31,

2020

 

 

 

 

 

 

 

Funding

 

 

 

 

 

 

 

Assets

 

 

Commitments

 

 

Assets

 

Chem-Mod LLC

 

$

4.0

 

 

$

—

 

 

$

4.0

 

Chem-Mod International LLC

 

 

2.0

 

 

 

—

 

 

 

2.0

 

Clean-coal investments:

 

 

 

 

 

 

 

 

 

 

 

 

Non-controlling interest in a limited liability company that owns one

   2011 Era Clean Coal Plant

 

 

—

 

 

 

—

 

 

 

0.1

 

Controlling interest in limited liability companies that own twenty

   2011 Era Clean Coal Plants

 

 

2.6

 

 

 

—

 

 

 

12.4

 

Other investments

 

 

5.5

 

 

 

0.5

 

 

 

3.9

 

Total investments

 

$

14.1

 

 

$

0.5

 

 

$

22.4

 

 
v3.21.2
Derivatives and Hedging Activity (Tables)
 9 Months Ended
Sep. 30, 2021
Derivative Instruments And Hedging Activities Disclosure [Abstract]  
Summary of Notional and Fair Values of Derivative Instruments

The notional and fair values of derivatives designated as hedging instruments are as follows at September 30, 2021 and December 31, 2020 (in millions):

 

 

 

 

 

 

 

Derivative Assets

 

 

 

 

 

Derivative Liabilities

 

 

 

 

 

 

Notional

 

 

Balance Sheet

 

Fair

 

 

Balance Sheet

 

Fair

 

Instrument

 

Amount

 

 

Classification

 

Value

 

 

Classification

 

Value

 

At September 30, 2021

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate contracts

 

$

1,000.0

 

 

Other current assets

 

$

5.9

 

 

Accrued compensation and other current liabilities

 

$

0.3

 

 

 

 

 

 

 

Other noncurrent assets

 

 

5.9

 

 

Other noncurrent liabilities

 

 

4.2

 

Foreign exchange contracts (1)

 

 

22.5

 

 

Other current assets

 

 

4.5

 

 

Accrued compensation and other current liabilities

 

 

0.9

 

 

 

 

 

 

 

Other noncurrent assets

 

 

1.9

 

 

Other noncurrent liabilities

 

 

4.4

 

Total

 

$

1,022.5

 

 

 

 

$

18.2

 

 

 

 

$

9.8

 

At December 31, 2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate contracts

 

$

550.0

 

 

Other current assets

 

$

—

 

 

Accrued compensation and other current liabilities

 

$

54.5

 

 

 

 

 

 

 

Other noncurrent assets

 

 

—

 

 

Other noncurrent liabilities

 

 

10.9

 

Foreign exchange contracts (1)

 

 

48.6

 

 

Other current assets

 

 

5.9

 

 

Accrued compensation and other current liabilities

 

 

0.6

 

 

 

 

 

 

 

Other noncurrent assets

 

 

7.8

 

 

Other noncurrent liabilities

 

 

3.3

 

Total

 

$

598.6

 

 

 

 

$

13.7

 

 

 

 

$

69.3

 

 

(1)

Included within foreign exchange contracts at September 30, 2021 were $365.8 million of call options, offset with $365.8 million of put options, and $12.1 million of buy forwards, offset with $34.6 million of sell forwards.  Included within foreign exchange contracts at December 31, 2020 were $354.7 million of call options, offset with $354.7 million of put options, and $9.0 million of buy forwards, offset with $57.6 million of sell forwards.
Summary of Amounts of Derivative Gains (Losses) Recognized In Accumulated Other Comprehensive Loss

The effect of cash flow hedge accounting on accumulated other comprehensive loss for the three and nine-month periods ended September 30, 2021 and 2020 were as follows (in millions):

 

 

 

 

 

 

 

 

 

 

 

Amount of

 

 

 

 

 

 

 

 

 

Amount of

 

 

Gain (Loss)

 

 

 

 

 

 

 

 

 

Loss

 

 

Recognized

 

 

 

 

 

Amount of

 

 

Reclassified

 

 

in Earnings

 

 

 

 

 

Gain (Loss)

 

 

from

 

 

Related to

 

 

 

 

 

Recognized in

 

 

Accumulated

 

 

Amount

 

 

 

 

 

Accumulated

 

 

Other

 

 

Excluded

 

 

 

 

 

Other

 

 

Comprehensive

 

 

from

 

 

 

 

 

Comprehensive

 

 

Loss into

 

 

Effectiveness

 

 

Statement of Earnings

Instrument

 

Loss (1)

 

 

Earnings

 

 

Testing

 

 

Classification

Three-month period ended September 30, 2021

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate contracts

 

$

11.2

 

 

$

(0.3

)

 

$

—

 

 

Interest expense

Foreign exchange contracts

 

 

(5.6

)

 

 

(0.4

)

 

 

0.2

 

 

Commission revenue

 

 

 

 

 

 

 

(0.1

)

 

 

0.2

 

 

Compensation expense

 

 

 

 

 

 

 

(0.2

)

 

 

0.1

 

 

Operating expense

Total

 

$

5.6

 

 

$

(1.0

)

 

$

0.5

 

 

 

Three-month period ended September 30, 2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate contracts

 

$

3.4

 

 

$

(0.3

)

 

$

—

 

 

Interest expense

Foreign exchange contracts

 

 

7.0

 

 

 

(0.4

)

 

 

(0.1

)

 

Commission revenue

 

 

 

 

 

 

 

(0.4

)

 

 

0.4

 

 

Compensation expense

 

 

 

 

 

 

 

(0.3

)

 

 

0.4

 

 

Operating expense

Total

 

$

10.4

 

 

$

(1.4

)

 

$

0.7

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine-month period ended September 30, 2021

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate contracts

 

$

45.3

 

 

$

(0.9

)

 

$

—

 

 

Interest expense

Foreign exchange contracts

 

 

(11.7

)

 

 

(2.7

)

 

 

—

 

 

Commission revenue

 

 

 

 

 

 

 

(0.6

)

 

 

0.8

 

 

Compensation expense

 

 

 

 

 

 

 

(0.5

)

 

 

0.6

 

 

Operating expense

Total

 

$

33.6

 

 

$

(4.7

)

 

$

1.4

 

 

 

Nine-month period ended September 30, 2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate contracts

 

$

(104.7

)

 

$

(0.9

)

 

$

—

 

 

Interest expense

Foreign exchange contracts

 

 

(10.3

)

 

 

(0.9

)

 

 

(0.4

)

 

Commission revenue

 

 

 

 

 

 

 

(1.2

)

 

 

1.0

 

 

Compensation expense

 

 

 

 

 

 

 

(0.9

)

 

 

0.8

 

 

Operating expense

Total

 

$

(115.0

)

 

$

(3.9

)

 

$

1.4

 

 

 

 

(1)

For the three and nine-month periods ended September 30, 2021, the amount excluded from the assessment of hedge effectiveness for our foreign exchange contracts recognized in accumulated other comprehensive loss was a loss of zero and $1.2 million, respectively.  For the three and nine-month periods ended September 30, 2020, the amount excluded from the assessment of hedge effectiveness for our foreign exchange contracts recognized in accumulated other comprehensive loss was a loss of $0.4 million and $0.8 million, respectively.
v3.21.2
Commitments, Contingencies and Off-Balance Sheet Arrangements (Tables)
 9 Months Ended
Sep. 30, 2021
Commitments And Contingencies Disclosure [Abstract]  
Contractual Obligations Our future minimum cash payments, including interest, associated with our contractual obligations pursuant to the Senior Notes, Note purchase agreements, Credit Agreement, Premium Financing Debt Facility, operating leases and purchase obligations at September 30, 2021 were as follows (in millions):

  

 

Payments Due by Period

 

Contractual Obligations

 

2021

 

 

2022

 

 

2023

 

 

2024

 

 

2025

 

 

Thereafter

 

 

Total

 

Senior Notes

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

850.0

 

 

$

850.0

 

Note purchase agreements

 

 

—

 

 

 

200.0

 

 

 

250.0

 

 

 

475.0

 

 

 

200.0

 

 

 

3,323.0

 

 

 

4,448.0

 

Credit Agreement

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Premium Financing Debt Facility

 

 

234.1

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

234.1

 

Interest on debt

 

 

59.9

 

 

 

217.7

 

 

 

208.7

 

 

 

192.0

 

 

 

177.4

 

 

 

1,406.9

 

 

 

2,262.6

 

Total debt obligations

 

 

294.0

 

 

 

417.7

 

 

 

458.7

 

 

 

667.0

 

 

 

377.4

 

 

 

5,579.9

 

 

 

7,794.7

 

Operating lease obligations

 

 

21.8

 

 

 

102.0

 

 

 

81.9

 

 

 

59.5

 

 

 

45.5

 

 

 

88.2

 

 

 

398.9

 

Less sublease arrangements

 

 

(0.3

)

 

 

(0.8

)

 

 

(0.6

)

 

 

(0.3

)

 

 

(0.2

)

 

 

(0.5

)

 

 

(2.7

)

Outstanding purchase obligations

 

 

33.5

 

 

 

68.9

 

 

 

47.3

 

 

 

30.7

 

 

 

22.9

 

 

 

37.4

 

 

 

240.7

 

Total contractual obligations

 

$

349.0

 

 

$

587.8

 

 

$

587.3

 

 

$

756.9

 

 

$

445.6

 

 

$

5,705.0

 

 

$

8,431.6

 

 
Off-Balance Sheet Commitments

Off-Balance Sheet Commitments - Our total unrecorded commitments associated with outstanding letters of credit, financial guarantees and funding commitments as of September 30, 2021 were as follows (in millions):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

 

 

Amount of Commitment Expiration by Period

 

 

Amounts

 

Off-Balance Sheet Commitments

 

2021

 

 

2022

 

 

2023

 

 

2024

 

 

2025

 

 

Thereafter

 

 

Committed

 

Letters of credit

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

15.1

 

 

$

15.1

 

Financial guarantees

 

 

0.3

 

 

 

1.4

 

 

 

1.5

 

 

 

2.3

 

 

 

0.2

 

 

 

0.2

 

 

 

5.9

 

Funding commitments

 

 

0.5

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

0.5

 

Total commitments

 

$

0.8

 

 

$

1.4

 

 

$

1.5

 

 

$

2.3

 

 

$

0.2

 

 

$

15.3

 

 

$

21.5

 

 

 
v3.21.2
Supplemental Disclosures of Cash Flow Information (Tables)
 9 Months Ended
Sep. 30, 2021
Cash And Cash Equivalents [Abstract]  
Supplemental disclosures of cash flow information

 

 

Nine-month period ended September 30,

 

Supplemental disclosures of cash flow information (in millions):

 

2021

 

 

2020

 

Interest paid

 

$

150.4

 

 

$

144.8

 

Income taxes paid, net

 

 

235.2

 

 

 

65.6

 

 
Summary of Cash, Cash Equivalents and Restricted Cash

 

The following is a reconciliation of our end of period cash, cash equivalents and restricted cash balances as presented in the consolidated statement of cash flows for the nine-month periods ended September 30, 2021 and 2020 (in millions):

 

 

 

September 30,

 

 

 

2021

 

 

2020

 

Cash and cash equivalents

 

$

2,735.1

 

 

$

629.9

 

Restricted cash

 

 

3,277.2

 

 

 

2,844.9

 

Total cash, cash equivalents and restricted cash

 

$

6,012.3

 

 

$

3,474.8

 
v3.21.2
Accumulated Other Comprehensive Loss (Tables)
 9 Months Ended
Sep. 30, 2021
Equity [Abstract]  
Schedule of Accumulated Other Comprehensive Loss Attributable to Controlling Interests

The after-tax components of our accumulated other comprehensive loss attributable to controlling interests consist of the following:  

 

 

 

 

 

 

 

Foreign

 

 

Fair Value of

 

 

Accumulated

 

 

 

Pension

 

 

Currency

 

 

Derivative

 

 

Comprehensive

 

 

 

Liability

 

 

Translation

 

 

Investments

 

 

Loss

 

Balance as of December 31, 2020

 

$

(56.1

)

 

$

(491.1

)

 

$

(96.4

)

 

$

(643.6

)

Net change in period

 

 

1.7

 

 

 

(9.7

)

 

 

28.4

 

 

 

20.4

 

Balance as of September 30, 2021

 

$

(54.4

)

 

$

(500.8

)

 

$

(68.0

)

 

$

(623.2

)
v3.21.2
Segment Information (Tables)
 9 Months Ended
Sep. 30, 2021
Segment Reporting [Abstract]  
Schedule of Segment Reporting Information by Segment

Financial information relating to our segments for the three and nine-month periods ended September 30, 2021 and 2020 is as follows (in millions):

 

 

Three-month period ended

September 30,

 

 

Nine-month period ended

September 30,

 

 

2021

 

 

2020

 

 

2021

 

 

2020

 

Brokerage

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total revenues

$

1,499.7

 

 

$

1,294.6

 

 

$

4,500.1

 

 

$

3,931.3

 

Earnings before income taxes

$

334.5

 

 

$

276.4

 

 

$

1,114.5

 

 

$

935.0

 

Identifiable assets at September 30, 2021 and 2020

 

 

 

 

 

 

 

 

$

21,184.7

 

 

$

18,641.2

 

Risk Management

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total revenues

$

280.6

 

 

$

244.3

 

 

$

815.0

 

 

$

717.0

 

Earnings before income taxes

$

29.5

 

 

$

25.3

 

 

$

87.0

 

 

$

64.1

 

Identifiable assets at September 30, 2021 and 2020

 

 

 

 

 

 

 

 

$

1,079.7

 

 

$

964.5

 

Corporate

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total revenues

$

357.9

 

 

$

310.2

 

 

$

921.6

 

 

$

651.7

 

Loss before income taxes

$

(132.6

)

 

$

(92.2

)

 

$

(339.4

)

 

$

(261.9

)

Identifiable assets at September 30, 2021 and 2020

 

 

 

 

 

 

 

 

$

4,651.4

 

 

$

2,209.2

 

Total

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total revenues

$

2,138.2

 

 

$

1,849.1

 

 

$

6,236.7

 

 

$

5,300.0

 

Earnings before income taxes

$

231.4

 

 

$

209.5

 

 

$

862.1

 

 

$

737.2

 

Identifiable assets at September 30, 2021 and 2020

 

 

 

 

 

 

 

 

$

26,915.8

 

 

$

21,814.9

 
Summary of Revenues by Type and Segment

Revenues by type and segment for the three-month period ended September 30, 2021 are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commissions

 

$

1,016.2

 

 

$

—

 

 

$

—

 

 

$

1,016.2

 

Fees

 

 

353.8

 

 

 

247.9

 

 

 

—

 

 

 

601.7

 

Supplemental revenues

 

 

61.0

 

 

 

—

 

 

 

—

 

 

 

61.0

 

Contingent revenues

 

 

43.7

 

 

 

—

 

 

 

—

 

 

 

43.7

 

Investment income

 

 

20.7

 

 

 

0.1

 

 

 

—

 

 

 

20.8

 

Net gains on divestitures

 

 

4.3

 

 

 

—

 

 

 

—

 

 

 

4.3

 

Revenues from clean coal activities

 

 

—

 

 

 

—

 

 

 

357.6

 

 

 

357.6

 

Other net revenues

 

 

—

 

 

 

—

 

 

 

0.3

 

 

 

0.3

 

Revenues before reimbursements

 

 

1,499.7

 

 

 

248.0

 

 

 

357.9

 

 

 

2,105.6

 

Reimbursements

 

 

—

 

 

 

32.6

 

 

 

—

 

 

 

32.6

 

Total revenues

 

$

1,499.7

 

 

$

280.6

 

 

$

357.9

 

 

$

2,138.2

 

 

Revenues by type and segment for the nine-month period ended September 30, 2021 are as follows (in millions):

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commissions

 

$

3,118.7

 

 

$

—

 

 

$

—

 

 

$

3,118.7

 

Fees

 

 

983.4

 

 

 

713.0

 

 

 

—

 

 

 

1,696.4

 

Supplemental revenues

 

 

183.0

 

 

 

—

 

 

 

—

 

 

 

183.0

 

Contingent revenues

 

 

150.3

 

 

 

—

 

 

 

—

 

 

 

150.3

 

Investment income

 

 

55.8

 

 

 

0.2

 

 

 

—

 

 

 

56.0

 

Net gains on divestitures

 

 

8.9

 

 

 

0.1

 

 

 

—

 

 

 

9.0

 

Revenues from clean coal activities

 

 

—

 

 

 

—

 

 

 

919.2

 

 

 

919.2

 

Other net revenues

 

 

—

 

 

 

—

 

 

 

2.4

 

 

 

2.4

 

Revenues before reimbursements

 

 

4,500.1

 

 

 

713.3

 

 

 

921.6

 

 

 

6,135.0

 

Reimbursements

 

 

—

 

 

 

101.7

 

 

 

—

 

 

 

101.7

 

Total revenues

 

$

4,500.1

 

 

$

815.0

 

 

$

921.6

 

 

$

6,236.7

 

 

 

Revenues by type and segment for the three-month period ended September 30, 2020 are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commissions

 

$

889.9

 

 

$

—

 

 

$

—

 

 

$

889.9

 

Fees

 

 

293.2

 

 

 

202.6

 

 

 

—

 

 

 

495.8

 

Supplemental revenues

 

 

54.7

 

 

 

—

 

 

 

—

 

 

 

54.7

 

Contingent revenues

 

 

34.5

 

 

 

—

 

 

 

—

 

 

 

34.5

 

Investment income

 

 

18.9

 

 

 

0.1

 

 

 

—

 

 

 

19.0

 

Net gains on divestitures

 

 

3.4

 

 

 

—

 

 

 

—

 

 

 

3.4

 

Revenues from clean coal activities

 

 

—

 

 

 

—

 

 

 

310.8

 

 

 

310.8

 

Other net losses

 

 

—

 

 

 

—

 

 

 

(0.6

)

 

 

(0.6

)

Revenues before reimbursements

 

 

1,294.6

 

 

 

202.7

 

 

 

310.2

 

 

 

1,807.5

 

Reimbursements

 

 

—

 

 

 

41.6

 

 

 

—

 

 

 

41.6

 

Total revenues

 

$

1,294.6

 

 

$

244.3

 

 

$

310.2

 

 

$

1,849.1

 

 

Revenues by type and segment for the nine-month period ended September 30, 2020 are as follows (in millions):

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commissions

 

$

2,734.6

 

 

$

—

 

 

$

—

 

 

$

2,734.6

 

Fees

 

 

858.1

 

 

 

604.7

 

 

 

—

 

 

 

1,462.8

 

Supplemental revenues

 

 

164.0

 

 

 

—

 

 

 

—

 

 

 

164.0

 

Contingent revenues

 

 

117.0

 

 

 

—

 

 

 

—

 

 

 

117.0

 

Investment income

 

 

53.0

 

 

 

0.6

 

 

 

—

 

 

 

53.6

 

Net gains on divestitures

 

 

4.6

 

 

 

—

 

 

 

—

 

 

 

4.6

 

Revenues from clean coal activities

 

 

—

 

 

 

—

 

 

 

652.1

 

 

 

652.1

 

Other net losses

 

 

—

 

 

 

—

 

 

 

(0.4

)

 

 

(0.4

)

Revenues before reimbursements

 

 

3,931.3

 

 

 

605.3

 

 

 

651.7

 

 

 

5,188.3

 

Reimbursements

 

 

—

 

 

 

111.7

 

 

 

—

 

 

 

111.7

 

Total revenues

 

$

3,931.3

 

 

$

717.0

 

 

$

651.7

 

 

$

5,300.0

 

 
Summary of Geographical Location and Segment

Revenues by geographical location and segment for the three-month period ended September 30, 2021 are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

1,000.3

 

 

$

233.9

 

 

$

357.9

 

 

$

1,592.1

 

United Kingdom

 

 

276.5

 

 

 

12.1

 

 

 

—

 

 

 

288.6

 

Australia

 

 

62.4

 

 

 

29.6

 

 

 

—

 

 

 

92.0

 

Canada

 

 

68.1

 

 

 

1.6

 

 

 

—

 

 

 

69.7

 

New Zealand

 

 

41.0

 

 

 

3.4

 

 

 

—

 

 

 

44.4

 

Other foreign

 

 

51.4

 

 

 

—

 

 

 

—

 

 

 

51.4

 

Total revenues

 

$

1,499.7

 

 

$

280.6

 

 

$

357.9

 

 

$

2,138.2

 

 

 

Revenues by geographical location and segment for the nine-month period ended September 30, 2021 are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

2,919.3

 

 

$

672.9

 

 

$

921.6

 

 

$

4,513.8

 

United Kingdom

 

 

895.0

 

 

 

35.0

 

 

 

—

 

 

 

930.0

 

Australia

 

 

187.1

 

 

 

91.6

 

 

 

—

 

 

 

278.7

 

Canada

 

 

215.5

 

 

 

4.4

 

 

 

—

 

 

 

219.9

 

New Zealand

 

 

118.9

 

 

 

11.1

 

 

 

—

 

 

 

130.0

 

Other foreign

 

 

164.3

 

 

 

—

 

 

 

—

 

 

 

164.3

 

Total revenues

 

$

4,500.1

 

 

$

815.0

 

 

$

921.6

 

 

$

6,236.7

 

 

Revenues by type and segment for the nine-month period ended September 30, 2020 are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commissions

 

$

2,734.6

 

 

$

—

 

 

$

—

 

 

$

2,734.6

 

Fees

 

 

858.1

 

 

 

604.7

 

 

 

—

 

 

 

1,462.8

 

Supplemental revenues

 

 

164.0

 

 

 

—

 

 

 

—

 

 

 

164.0

 

Contingent revenues

 

 

117.0

 

 

 

—

 

 

 

—

 

 

 

117.0

 

Investment income

 

 

53.0

 

 

 

0.6

 

 

 

—

 

 

 

53.6

 

Net gains on divestitures

 

 

4.6

 

 

 

—

 

 

 

—

 

 

 

4.6

 

Revenues from clean coal activities

 

 

—

 

 

 

—

 

 

 

652.1

 

 

 

652.1

 

Other net losses

 

 

—

 

 

 

—

 

 

 

(0.4

)

 

 

(0.4

)

Revenues before reimbursements

 

 

3,931.3

 

 

 

605.3

 

 

 

651.7

 

 

 

5,188.3

 

Reimbursements

 

 

—

 

 

 

111.7

 

 

 

—

 

 

 

111.7

 

Total revenues

 

$

3,931.3

 

 

$

717.0

 

 

$

651.7

 

 

$

5,300.0

 

 

 

Revenues by geographical location and segment for the three-month period ended September 30, 2020 are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

866.6

 

 

$

203.9

 

 

$

310.2

 

 

$

1,380.7

 

United Kingdom

 

 

230.8

 

 

 

9.8

 

 

 

—

 

 

 

240.6

 

Australia

 

 

56.6

 

 

 

26.2

 

 

 

—

 

 

 

82.8

 

Canada

 

 

57.1

 

 

 

1.4

 

 

 

—

 

 

 

58.5

 

New Zealand

 

 

37.0

 

 

 

3.0

 

 

 

—

 

 

 

40.0

 

Other foreign

 

 

46.5

 

 

 

—

 

 

 

—

 

 

 

46.5

 

Total revenues

 

$

1,294.6

 

 

$

244.3

 

 

$

310.2

 

 

$

1,849.1

 

 

 

Revenues by geographical location and segment for the nine-month period ended September 30, 2020 are as follows (in millions):

 

 

 

 

 

 

 

Risk

 

 

 

 

 

 

 

 

 

 

 

Brokerage

 

 

Management

 

 

Corporate

 

 

Total

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

2,613.3

 

 

$

602.2

 

 

$

651.7

 

 

$

3,867.2

 

United Kingdom

 

 

746.2

 

 

 

29.4

 

 

 

—

 

 

 

775.6

 

Australia

 

 

156.6

 

 

 

72.5

 

 

 

—

 

 

 

229.1

 

Canada

 

 

171.5

 

 

 

3.9

 

 

 

—

 

 

 

175.4

 

New Zealand

 

 

103.0

 

 

 

9.0

 

 

 

—

 

 

 

112.0

 

Other foreign

 

 

140.7

 

 

 

—

 

 

 

—

 

 

 

140.7

 

Total revenues

 

$

3,931.3

 

 

$

717.0

 

 

$

651.7

 

 

$

5,300.0

 

 

 
v3.21.2
Summary of Significant Accounting Policies - Additional Information (Detail)
 9 Months Ended
Sep. 30, 2021
Country
Segment
Facility
Organization Consolidation And Presentation Of Financial Statements [Abstract]  
Number of reportable segments | Segment 3
Number of commercial clean coal production facilities | Facility 35
Number of countries in which the company has operations 57
Number of countries in which the company does business through a network of correspondent brokers and consultants 150
v3.21.2
Effect of New Accounting Pronouncements - Additional Information (Details) - ASU 2019-12 [Member]
Sep. 30, 2021
New Accounting Pronouncements Or Change In Accounting Principle [Line Items]  
Change in Accounting Principle, Accounting Standards Update, Adopted [true false] true
Change in Accounting Principle, Accounting Standards Update, Adoption Date Jan. 01, 2021
Change in Accounting Principle, Accounting Standards Update, Immaterial Effect [true false] true
v3.21.2
Business Combinations - Acquisition Method for Recording Business Combinations (Detail)
 9 Months Ended
Sep. 30, 2021
USD ($)
shares
Atlas General Holdings LLC [Member]  
Business Acquisition [Line Items]  
Cash Paid $ 95,200,000
Escrow Deposited 5,400,000
Recorded Earnout Payable 8,700,000
Total Recorded Purchase Price 109,300,000
Maximum Potential Earnout Payable 35,000,000.0
Bollington Wilson Group [Member]  
Business Acquisition [Line Items]  
Cash Paid 328,000,000.0
Escrow Deposited 1,400,000
Total Recorded Purchase Price 329,400,000
LDJ American Online Benefits Group, LLC [Member]  
Business Acquisition [Line Items]  
Cash Paid 38,200,000
Escrow Deposited 7,100,000
Recorded Earnout Payable 14,800,000
Total Recorded Purchase Price 60,100,000
Maximum Potential Earnout Payable $ 20,000,000.0
Sixteen Other Acquisitions [Member]  
Business Acquisition [Line Items]  
Common Shares Issued | shares 337,000.0
Common Share Value $ 44,400,000
Cash Paid 157,300,000
Accrued Liability 13,100,000
Escrow Deposited 18,900,000
Recorded Earnout Payable 34,100,000
Total Recorded Purchase Price 267,800,000
Maximum Potential Earnout Payable $ 70,200,000
2021 Acquisitions [Member]  
Business Acquisition [Line Items]  
Common Shares Issued | shares 337,000.0
Common Share Value $ 44,400,000
Cash Paid 618,700,000
Accrued Liability 13,100,000
Escrow Deposited 32,800,000
Recorded Earnout Payable 57,600,000
Total Recorded Purchase Price 766,600,000
Maximum Potential Earnout Payable $ 125,200,000
v3.21.2
Business Combinations - Additional Information (Detail)
shares in Millions
 3 Months Ended 9 Months Ended 237 Months Ended
Aug. 13, 2021
USD ($)
Jul. 29, 2021
May 20, 2021
USD ($)
May 17, 2021
USD ($)
shares
Sep. 30, 2021
USD ($)
Entity
Jun. 30, 2021
shares
Sep. 30, 2020
USD ($)
Entity
Sep. 30, 2021
USD ($)
Entity
Sep. 30, 2020
USD ($)
Entity
Sep. 30, 2021
USD ($)
Entity
Dec. 31, 2020
USD ($)
Business Acquisition [Line Items]                      
Net cash raised through follow-on common stock offering               $ 1,524,600,000 $ 83,600,000    
Aggregate principal amount         $ 5,532,100,000     5,532,100,000   $ 5,532,100,000 $ 4,551,600,000
Loss on extinguishment of debt $ 16,200,000       16,200,000     16,200,000      
Accretion of the discount on acquisition         8,200,000   $ 5,900,000 26,400,000 24,300,000    
Income (expense) related to net adjustments to estimated fair value of liability for earnout obligations         $ (26,000,000.0)   $ (14,200,000) $ (36,600,000) $ 77,400,000    
Number of companies acquired | Entity         44   55 80 126 602  
Aggregate amount of maximum earnout obligations related to acquisitions               $ 1,026,100,000 $ 1,026,100,000    
Aggregate amount of maximum earnout obligations related to acquisitions, recorded in consolidated balance sheet               578,700,000 578,700,000    
Aggregate amount of earnout obligation expected settlement in cash or stock at option         $ 560,500,000     560,500,000   $ 560,500,000  
Aggregate amount of earnout obligation expected settlement in cash         18,200,000     18,200,000   18,200,000  
Goodwill         453,500,000     453,500,000   453,500,000  
Expiration lists         279,900,000     279,900,000   279,900,000  
Non-compete agreements         3,800,000     3,800,000   3,800,000  
Trade names         4,700,000     4,700,000   4,700,000  
Total revenues         2,140,700,000   $ 1,899,600,000 6,278,400,000 5,435,700,000    
Brokerage and Risk Management [Member]                      
Business Acquisition [Line Items]                      
Goodwill         453,500,000     453,500,000   453,500,000  
Expiration lists         279,900,000     279,900,000   279,900,000  
Non-compete agreements         3,800,000     3,800,000   3,800,000  
Trade names         4,700,000     4,700,000   4,700,000  
Impairment wrote off of amortizable assets         0            
Brokerage [Member]                      
Business Acquisition [Line Items]                      
Impairment wrote off of amortizable assets             $ 3,700,000 13,100,000 $ 49,700,000    
Brokerage [Member] | Expiration Lists [Member]                      
Business Acquisition [Line Items]                      
Business acquisition not deductible for income tax purposes         118,000,000.0     118,000,000.0   118,000,000.0  
Brokerage [Member] | Non-Compete Agreements [Member]                      
Business Acquisition [Line Items]                      
Business acquisition not deductible for income tax purposes         1,600,000     1,600,000   1,600,000  
Brokerage [Member] | Trade Names [Member]                      
Business Acquisition [Line Items]                      
Business acquisition not deductible for income tax purposes         $ 3,500,000     $ 3,500,000   $ 3,500,000  
Minimum [Member] | Expiration Lists [Member]                      
Business Acquisition [Line Items]                      
Estimated useful lives of intangibles assets, years               2 years      
Minimum [Member] | Non-Compete Agreements [Member]                      
Business Acquisition [Line Items]                      
Estimated useful lives of intangibles assets, years               2 years      
Minimum [Member] | Trade Names [Member]                      
Business Acquisition [Line Items]                      
Estimated useful lives of intangibles assets, years               2 years      
Maximum [Member] | Expiration Lists [Member]                      
Business Acquisition [Line Items]                      
Estimated useful lives of intangibles assets, years               15 years      
Maximum [Member] | Non-Compete Agreements [Member]                      
Business Acquisition [Line Items]                      
Estimated useful lives of intangibles assets, years               6 years      
Maximum [Member] | Trade Names [Member]                      
Business Acquisition [Line Items]                      
Estimated useful lives of intangibles assets, years               15 years      
Common Stock [Member]                      
Business Acquisition [Line Items]                      
Stock issuance from public offering (in shares) | shares           10.3          
Fixed Rate of 3.50%, Balloon Due May 20, 2051 [Member]                      
Business Acquisition [Line Items]                      
Periodic payment of interest         3.50%     3.50%   3.50%  
Unsecured Senior Notes [Member]                      
Business Acquisition [Line Items]                      
Aggregate principal amount     $ 1,500,000,000.0   $ 850,000,000.0     $ 850,000,000.0   $ 850,000,000.0  
Weighted average interest rate     3.31%                
Unsecured Senior Notes [Member] | Fixed Rate of 2.50%, Balloon Due May 20, 2031 [Member]                      
Business Acquisition [Line Items]                      
Aggregate principal amount     $ 650,000,000.0                
Periodic payment of interest     2.50%                
Periodic payments of interest and principal, expiry year     2031                
Notes redemption date   Aug. 13, 2021                  
Loss on extinguishment of debt 16,200,000                    
Unsecured Senior Notes [Member] | Fixed Rate of 3.50%, Balloon Due May 20, 2051 [Member]                      
Business Acquisition [Line Items]                      
Aggregate principal amount     $ 850,000,000.0   $ 850,000,000.0     $ 850,000,000.0   $ 850,000,000.0  
Periodic payment of interest     3.50%                
Periodic payments of interest and principal, expiry year     2051                
Willis Towers Watson PLC [Member]                      
Business Acquisition [Line Items]                      
Initial gross consideration 3,250,000,000                    
Potential additional consideration subject to certain revenue targets 750,000,000                    
Net cash raised through follow-on common stock offering 1,400,000,000                    
Cash borrowed through debt issuance and additional cash generated $ 850,000,000                    
Debt instrument term 30 years                    
Agreement termination date   Jul. 29, 2021                  
Willis Towers Watson PLC [Member] | Common Stock [Member]                      
Business Acquisition [Line Items]                      
Stock issuance from public offering (in shares) | shares       10.3              
Net proceeds after underwriting, discounts and other expense       $ 1,437,900,000              
2021 Acquisitions [Member] | Valuation, Market Approach [Member] | Measurement Input, Discount Rate [Member] | Minimum [Member]                      
Business Acquisition [Line Items]                      
Measurement input         2.5     2.5   2.5  
2021 Acquisitions [Member] | Valuation, Market Approach [Member] | Measurement Input, Discount Rate [Member] | Maximum [Member]                      
Business Acquisition [Line Items]                      
Measurement input         15.0     15.0   15.0  
2021 Acquisitions [Member] | Valuation, Market Approach [Member] | Measurement Input, Long-term Revenue Growth Rate [Member] | Minimum [Member]                      
Business Acquisition [Line Items]                      
Measurement input         3.0     3.0   3.0  
2021 Acquisitions [Member] | Valuation, Market Approach [Member] | Measurement Input, Long-term Revenue Growth Rate [Member] | Maximum [Member]                      
Business Acquisition [Line Items]                      
Measurement input         4.8     4.8   4.8  
2021 Acquisitions [Member] | Valuation, Income Approach | Minimum [Member]                      
Business Acquisition [Line Items]                      
Attrition rate               4.30%      
2021 Acquisitions [Member] | Valuation, Income Approach | Maximum [Member]                      
Business Acquisition [Line Items]                      
Attrition rate               16.10%      
2021 Acquisitions [Member] | Valuation, Income Approach | Measurement Input, Discount Rate [Member] | Minimum [Member]                      
Business Acquisition [Line Items]                      
Measurement input         7.0     7.0   7.0  
2021 Acquisitions [Member] | Valuation, Income Approach | Measurement Input, Discount Rate [Member] | Maximum [Member]                      
Business Acquisition [Line Items]                      
Measurement input         10.5     10.5   10.5  
2021 Acquisitions [Member] | Valuation, Income Approach | Measurement Input, Long-term Revenue Growth Rate [Member] | Minimum [Member]                      
Business Acquisition [Line Items]                      
Measurement input         9.0     9.0   9.0  
2021 Acquisitions [Member] | Valuation, Income Approach | Measurement Input, Long-term Revenue Growth Rate [Member] | Maximum [Member]                      
Business Acquisition [Line Items]                      
Measurement input         17.0     17.0   17.0  
2020 Acquisitions [Member] | Valuation, Market Approach [Member] | Measurement Input, Long-term Revenue Growth Rate [Member] | Minimum [Member]                      
Business Acquisition [Line Items]                      
Measurement input         3.0     3.0   3.0  
2020 Acquisitions [Member] | Valuation, Market Approach [Member] | Measurement Input, Long-term Revenue Growth Rate [Member] | Maximum [Member]                      
Business Acquisition [Line Items]                      
Measurement input         4.8     4.8   4.8  
2020 Acquisitions [Member] | Valuation, Income Approach | Minimum [Member]                      
Business Acquisition [Line Items]                      
Attrition rate               4.30%      
2020 Acquisitions [Member] | Valuation, Income Approach | Maximum [Member]                      
Business Acquisition [Line Items]                      
Attrition rate               16.10%      
2020 Acquisitions [Member] | Valuation, Income Approach | Measurement Input, Long-term Revenue Growth Rate [Member] | Minimum [Member]                      
Business Acquisition [Line Items]                      
Measurement input         9.0     9.0   9.0  
2020 Acquisitions [Member] | Valuation, Income Approach | Measurement Input, Long-term Revenue Growth Rate [Member] | Maximum [Member]                      
Business Acquisition [Line Items]                      
Measurement input         17.0     17.0   17.0  
Business Acquisition [Member]                      
Business Acquisition [Line Items]                      
Trade names         $ 4,700,000     $ 4,700,000   $ 4,700,000  
Annualized revenue of business acquisitions               189,900,000      
Total revenues               95,800,000      
Net earnings               3,300,000      
Business Acquisition [Member] | Brokerage [Member]                      
Business Acquisition [Line Items]                      
Expiration lists         279,900,000     279,900,000   279,900,000  
Non-compete agreements         3,800,000     3,800,000   3,800,000  
Deferred tax liability         $ 20,200,000     $ 20,200,000   $ 20,200,000  
v3.21.2
Business Combinations - Summary of Estimated Fair Values of Net Assets Acquired (Detail)
$ in Millions
Sep. 30, 2021
USD ($)
Business Acquisition Actual Revenue And Pre Tax Income Loss [Line Items]  
Cash and restricted cash $ 69.4
Other current assets 194.6
Fixed assets 11.4
Noncurrent assets 12.9
Goodwill 453.5
Expiration lists 279.9
Non-compete agreements 3.8
Trade names 4.7
Total assets acquired 1,030.2
Current liabilities 227.3
Noncurrent liabilities 36.3
Total liabilities assumed 263.6
Total net assets acquired 766.6
Atlas General Holdings LLC [Member]  
Business Acquisition Actual Revenue And Pre Tax Income Loss [Line Items]  
Cash and restricted cash 32.8
Other current assets 112.0
Fixed assets 7.4
Noncurrent assets 1.2
Goodwill 45.9
Expiration lists 39.7
Non-compete agreements 0.3
Total assets acquired 239.3
Current liabilities 129.8
Noncurrent liabilities 0.2
Total liabilities assumed 130.0
Total net assets acquired 109.3
Bollington Wilson Group [Member]  
Business Acquisition Actual Revenue And Pre Tax Income Loss [Line Items]  
Cash and restricted cash 24.9
Other current assets 15.3
Fixed assets 3.8
Noncurrent assets 5.3
Goodwill 257.1
Expiration lists 81.6
Non-compete agreements 1.2
Trade names 3.4
Total assets acquired 392.6
Current liabilities 39.6
Noncurrent liabilities 23.6
Total liabilities assumed 63.2
Total net assets acquired 329.4
LDJ American Online Benefits Group, LLC [Member]  
Business Acquisition Actual Revenue And Pre Tax Income Loss [Line Items]  
Cash and restricted cash 0.7
Other current assets 15.8
Noncurrent assets 0.2
Goodwill 25.7
Expiration lists 25.4
Non-compete agreements 0.2
Trade names 0.2
Total assets acquired 68.2
Current liabilities 8.0
Noncurrent liabilities 0.1
Total liabilities assumed 8.1
Total net assets acquired 60.1
Sixteen Other Acquisitions [Member]  
Business Acquisition Actual Revenue And Pre Tax Income Loss [Line Items]  
Cash and restricted cash 11.0
Other current assets 51.5
Fixed assets 0.2
Noncurrent assets 6.2
Goodwill 124.8
Expiration lists 133.2
Non-compete agreements 2.1
Trade names 1.1
Total assets acquired 330.1
Current liabilities 49.9
Noncurrent liabilities 12.4
Total liabilities assumed 62.3
Total net assets acquired $ 267.8
v3.21.2
Business Combinations - Summary of Unaudited Pro Forma Historical Results (Detail) - USD ($)
$ / shares in Units, $ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Sep. 30, 2021
Sep. 30, 2020
Business Combinations [Abstract]        
Total revenues $ 2,140.7 $ 1,899.6 $ 6,278.4 $ 5,435.7
Net earnings attributable to controlling interests $ 225.0 $ 181.6 $ 801.9 $ 685.9
Basic net earnings per share $ 1.09 $ 0.94 $ 3.99 $ 3.60
Diluted net earnings per share $ 1.06 $ 0.92 $ 3.90 $ 3.52
v3.21.2
Contracts with Customers - Summary of Unbilled Receivables, Contract Assets and Contract Liabilities from Contracts with Customers (Detail) - USD ($)
$ in Millions
Sep. 30, 2021
Dec. 31, 2020
Contract With Customer Asset And Liability [Abstract]    
Unbilled receivables $ 810.6 $ 603.1
Deferred contract costs 76.3 102.0
Deferred revenue $ 588.2 $ 541.3
v3.21.2
Contracts with Customers - Summary of Changes in Deferred Revenue Balances (Detail)
$ in Millions
 9 Months Ended
Sep. 30, 2021
USD ($)
Deferred Revenue Arrangement [Line Items]  
Deferred revenue beginning balance $ 541.3
Incremental deferred revenue 360.7
Revenue recognized during the nine-month period ended September 30, 2021 included in deferred revenue at December 31, 2020 (333.3)
Net change in collected billings/deposits received from customers 8.8
Impact of change in foreign exchange rates 1.0
Deferred revenue recognized from business acquisitions 9.7
Deferred revenue ending balance 588.2
Brokerage [Member]  
Deferred Revenue Arrangement [Line Items]  
Deferred revenue beginning balance 354.7
Incremental deferred revenue 283.3
Revenue recognized during the nine-month period ended September 30, 2021 included in deferred revenue at December 31, 2020 (256.5)
Net change in collected billings/deposits received from customers 1.5
Impact of change in foreign exchange rates 1.0
Deferred revenue recognized from business acquisitions 9.7
Deferred revenue ending balance 393.7
Risk Management [Member]  
Deferred Revenue Arrangement [Line Items]  
Deferred revenue beginning balance 186.6
Incremental deferred revenue 77.4
Revenue recognized during the nine-month period ended September 30, 2021 included in deferred revenue at December 31, 2020 (76.8)
Net change in collected billings/deposits received from customers 7.3
Deferred revenue ending balance $ 194.5
v3.21.2
Contracts with Customers - Additional Information (Detail) - USD ($)
$ in Millions
Sep. 30, 2021
Dec. 31, 2020
Sep. 30, 2020
Revenue From Contract With Customer [Abstract]      
Remaining performance obligations $ 588.2    
Deferred contract costs 76.3 $ 102.0  
Amortization of deferred contract costs $ 328.5   $ 304.0
v3.21.2
Contracts with Customers - Summary of Expected Revenue Related to Performance Obligations (Detail)
$ in Millions
Sep. 30, 2021
USD ($)
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 588.2
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2021-10-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 325.0
Remaining performance obligation, expected timing of satisfaction, period 3 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2022-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 190.4
Remaining performance obligation, expected timing of satisfaction, period 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2023-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 42.7
Remaining performance obligation, expected timing of satisfaction, period 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2024-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 12.1
Remaining performance obligation, expected timing of satisfaction, period 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2025-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 6.7
Remaining performance obligation, expected timing of satisfaction, period 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2026-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 11.3
Remaining performance obligation, expected timing of satisfaction, period
Brokerage [Member]  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 393.7
Brokerage [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2021-10-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 235.6
Remaining performance obligation, expected timing of satisfaction, period 3 months
Brokerage [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2022-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 135.8
Remaining performance obligation, expected timing of satisfaction, period 1 year
Brokerage [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2023-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 19.3
Remaining performance obligation, expected timing of satisfaction, period 1 year
Brokerage [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2024-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 1.5
Remaining performance obligation, expected timing of satisfaction, period 1 year
Brokerage [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2025-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 0.8
Remaining performance obligation, expected timing of satisfaction, period 1 year
Brokerage [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2026-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 0.7
Remaining performance obligation, expected timing of satisfaction, period
Risk Management [Member]  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 194.5
Risk Management [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2021-10-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 89.4
Remaining performance obligation, expected timing of satisfaction, period 3 months
Risk Management [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2022-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 54.6
Remaining performance obligation, expected timing of satisfaction, period 1 year
Risk Management [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2023-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 23.4
Remaining performance obligation, expected timing of satisfaction, period 1 year
Risk Management [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2024-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 10.6
Remaining performance obligation, expected timing of satisfaction, period 1 year
Risk Management [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2025-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 5.9
Remaining performance obligation, expected timing of satisfaction, period 1 year
Risk Management [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2026-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 10.6
Remaining performance obligation, expected timing of satisfaction, period
v3.21.2
Contracts with Customers - Summary of Expected Revenue Related to Performance Obligations 1 (Detail)
$ in Millions
Sep. 30, 2021
USD ($)
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 588.2
Brokerage [Member]  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations 393.7
Risk Management [Member]  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Expected revenue related to performance obligations $ 194.5
v3.21.2
Other Financial Data - Summary of Major Classes of Other Current Assets (Details) - USD ($)
$ in Millions
Sep. 30, 2021
Dec. 31, 2020
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract]    
Premium finance advances and loans $ 511.8 $ 442.7
Accrued supplemental, direct bill and other receivables 546.2 361.7
Refined coal production related receivables 108.5 95.4
Deferred contract costs 76.3 102.0
Prepaid expenses 126.7 112.1
Total other current assets $ 1,369.5 $ 1,113.9
v3.21.2
Intangible Assets - Carrying Amount of Goodwill Allocated by Domestic and Foreign Operations (Detail) - USD ($)
$ in Millions
Sep. 30, 2021
Dec. 31, 2020
Goodwill [Line Items]    
Total goodwill $ 6,627.5 $ 6,127.0
Unites States [Member]    
Goodwill [Line Items]    
Total goodwill 3,633.7 3,433.0
United Kingdom [Member]    
Goodwill [Line Items]    
Total goodwill 1,621.8 1,343.4
Canada [Member]    
Goodwill [Line Items]    
Total goodwill 523.0 492.9
Australia [Member]    
Goodwill [Line Items]    
Total goodwill 461.0 473.6
New Zealand [Member]    
Goodwill [Line Items]    
Total goodwill 231.1 232.6
Other Foreign [Member]    
Goodwill [Line Items]    
Total goodwill 156.9 151.5
Brokerage [Member]    
Goodwill [Line Items]    
Total goodwill 6,522.8 6,053.6
Brokerage [Member] | Unites States [Member]    
Goodwill [Line Items]    
Total goodwill 3,568.9 3,399.8
Brokerage [Member] | United Kingdom [Member]    
Goodwill [Line Items]    
Total goodwill 1,606.4 1,328.3
Brokerage [Member] | Canada [Member]    
Goodwill [Line Items]    
Total goodwill 523.0 492.9
Brokerage [Member] | Australia [Member]    
Goodwill [Line Items]    
Total goodwill 450.0 462.1
Brokerage [Member] | New Zealand [Member]    
Goodwill [Line Items]    
Total goodwill 220.5 221.9
Brokerage [Member] | Other Foreign [Member]    
Goodwill [Line Items]    
Total goodwill 154.0 148.6
Risk Management [Member]    
Goodwill [Line Items]    
Total goodwill 101.8 70.5
Risk Management [Member] | Unites States [Member]    
Goodwill [Line Items]    
Total goodwill 64.8 33.2
Risk Management [Member] | United Kingdom [Member]    
Goodwill [Line Items]    
Total goodwill 15.4 15.1
Risk Management [Member] | Australia [Member]    
Goodwill [Line Items]    
Total goodwill 11.0 11.5
Risk Management [Member] | New Zealand [Member]    
Goodwill [Line Items]    
Total goodwill 10.6 10.7
Corporate [Member]    
Goodwill [Line Items]    
Total goodwill 2.9 2.9
Corporate [Member] | Other Foreign [Member]    
Goodwill [Line Items]    
Total goodwill $ 2.9 $ 2.9
v3.21.2
Intangible Assets - Changes in Carrying Amount of Goodwill (Detail)
$ in Millions
 9 Months Ended
Sep. 30, 2021
USD ($)
Goodwill [Line Items]  
Beginning Balance $ 6,127.0
Goodwill acquired during the period 453.5
Goodwill adjustments due to appraisals and other acquisition adjustments 50.5
Goodwill written-off related to sales of business and impairment (1.0)
Foreign currency translation adjustments during the period (2.5)
Ending Balance 6,627.5
Brokerage [Member]  
Goodwill [Line Items]  
Beginning Balance 6,053.6
Goodwill acquired during the period 421.9
Goodwill adjustments due to appraisals and other acquisition adjustments 50.5
Goodwill written-off related to sales of business and impairment (1.0)
Foreign currency translation adjustments during the period (2.2)
Ending Balance 6,522.8
Risk Management [Member]  
Goodwill [Line Items]  
Beginning Balance 70.5
Goodwill acquired during the period 31.6
Foreign currency translation adjustments during the period (0.3)
Ending Balance 101.8
Corporate [Member]  
Goodwill [Line Items]  
Beginning Balance 2.9
Ending Balance $ 2.9
v3.21.2
Intangible Assets - Major Classes of Amortizable Intangible Assets (Detail) - USD ($)
$ in Millions
Sep. 30, 2021
Dec. 31, 2020
Finite-Lived Intangible Assets [Line Items]    
Amortizable intangible assets, net $ 2,339.0 $ 2,399.9
Expiration Lists [Member]    
Finite-Lived Intangible Assets [Line Items]    
Amortizable intangible assets, gross 4,997.2 4,753.2
Accumulated amortization (2,727.5) (2,436.7)
Amortizable intangible assets, net 2,269.7 2,316.5
Non-Compete Agreements [Member]    
Finite-Lived Intangible Assets [Line Items]    
Amortizable intangible assets, gross 73.5 75.9
Accumulated amortization (61.9) (57.8)
Amortizable intangible assets, net 11.6 18.1
Trade Names [Member]    
Finite-Lived Intangible Assets [Line Items]    
Amortizable intangible assets, gross 105.5 107.8
Accumulated amortization (47.8) (42.5)
Amortizable intangible assets, net $ 57.7 $ 65.3
v3.21.2
Intangible Assets - Estimated Aggregate Amortization Expense (Detail) - USD ($)
$ in Millions
Sep. 30, 2021
Dec. 31, 2020
Goodwill And Intangible Assets Disclosure [Abstract]    
2021 (remaining three months) $ 96.0  
2022 367.7  
2023 342.4  
2024 306.1  
2025 266.2  
Thereafter 960.6  
Amortizable intangible assets, net $ 2,339.0 $ 2,399.9
v3.21.2
Credit and Other Debt Agreements - Summary of Corporate and Other Debt (Detail) - USD ($)
$ in Millions
Sep. 30, 2021
May 20, 2021
Dec. 31, 2020
Debt Instrument [Line Items]      
Semi-annual payments of interest $ 5,532.1   $ 4,551.6
Less unamortized debt acquisition costs on Senior Notes and Note Purchase Agreements (15.6)   (7.0)
Less unamortized discount on Bonds Payable (10.0)    
Semi-annual payments of interest, Net 5,506.5   4,544.6
Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 4,448.0   4,348.0
Unsecured Senior Notes [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 850.0 $ 1,500.0  
Fixed Rate of 3.50%, Balloon Due May 20, 2051 [Member] | Unsecured Senior Notes [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 850.0 $ 850.0  
Fixed Rate of 5.18%, Balloon Due February 10, 2021 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest     75.0
Fixed Rate of 3.69%, Balloon Due June 14, 2022 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 200.0   200.0
Fixed Rate of 5.49%, Balloon Due February 10, 2023 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 50.0   50.0
Fixed Rate of 4.13%, Balloon Due June 24, 2023 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 200.0   200.0
Fixed Rate of 4.72%, Balloon due February 13, 2024 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 100.0   100.0
Fixed Rate of 4.58%, Balloon Due February 27, 2024 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 325.0   325.0
Floating Interest Rate of 1.40% LIBOR Plus Balloon Due June 13, 2024 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 50.0   50.0
Fixed Rate of 4.31%, Balloon Due June 24, 2025 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 200.0   200.0
Fixed Rate of 4.85%, Balloon due February 13, 2026 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 140.0   140.0
Fixed Rate of 4.73%, Balloon Due February 27, 2026 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 175.0   175.0
Fixed Rate of 4.40%, Balloon Due June 2, 2026 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 175.0   175.0
Fixed Rate of 4.36%, Balloon Due June 24, 2026 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 150.0   150.0
Fixed Rate of 3.75%, Balloon Due January 30, 2027 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 30.0   30.0
Fixed Rate of 4.09%, Balloon Due June 27, 2027 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 125.0   125.0
Fixed Rate of 4.09%, Balloon Due August 2, 2027 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 125.0   125.0
Fixed Rate of 4.14%, Balloon Due August 4, 2027 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 98.0   98.0
Fixed Rate of 3.46%, Balloon Due December 1, 2027 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 100.0   100.0
Fixed Rate of 4.55%, Balloon Due June 2, 2028 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 75.0   75.0
Fixed Rate of 4.34%, Balloon due June 13, 2028 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 125.0   125.0
Fixed Rate of 5.04%, Balloon due February 13, 2029 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 100.0   100.0
Fixed Rate of 4.98%, Balloon Due February 27, 2029 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 100.0   100.0
Fixed Rate of 4.19%, Balloon Due June 27, 2029 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 50.0   50.0
Fixed Rate of 4.19%, Balloon Due August 2, 2029 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 50.0   50.0
Fixed Rate of 3.48%, Balloon Due December 2, 2029 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 50.0   50.0
Fixed Rate of 3.99%, Balloon Due January 30, 2030 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 341.0   341.0
Fixed Rate of 4.44%, Balloon Due June 13, 2030 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 125.0   125.0
Fixed Rate of 5.14%, Balloon due March 13, 2031 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 180.0   180.0
Fixed Rate of 4.70%, Balloon Due June 2, 2031 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 25.0   25.0
Fixed Rate of 4.09%, Balloon Due January 30, 2032 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 69.0   69.0
Fixed Rate of 4.34%, Balloon Due June 27, 2032 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 75.0   75.0
Fixed Rate of 4.34%, Balloon Due August 2, 2032 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 75.0   75.0
Fixed Rate of 4.59%, Balloon due June 13, 2033 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 125.0   125.0
Fixed Rate of 5.29%, balloon due March 13, 2034 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 40.0   40.0
Fixed Rate of 4.48%, Balloon Due June 12, 2034 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 175.0   175.0
Fixed Rate of 4.24%, Balloon Due January 30, 2035 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 79.0   79.0
Fixed Rate of 2.44%, Balloon Due February 10, 2036 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 100.0    
Fixed Rate of 2.46%, Balloon Due May 5, 2036 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 75.0    
Fixed Rate of 4.69%, Balloon Due June 13, 2038 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 75.0   75.0
Fixed Rate of 5.45%, balloon due March 13, 2039 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 40.0   40.0
Interbank Rates Plus 1.200% Expires September 15, 2023 [Member] | AUD Denominated Tranche [Member] | Facility B [Member] | Premium Financing Debt Facility [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 211.9   193.1
Fixed Rate of 4.49%, Balloon Due January 30, 2040 [Member] | Note Purchase Agreements [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 56.0   56.0
Interbank Rates Plus 0.680% Expires September 15, 2023 [Member] | AUD Denominated Tranche [Member] | Facility C and D [Member] | Premium Financing Debt Facility [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 11.8    
Interbank Rates Plus 0.940% Expires September 15, 2023 [Member] | NZD Denominated Tranche [Member] | Facility C and D [Member] | Premium Financing Debt Facility [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest 10.4   10.5
Interbank Rates Expires September 15, 2023 [Member] | Premium Financing Debt Facility [Member]      
Debt Instrument [Line Items]      
Semi-annual payments of interest $ 234.1   $ 203.6
v3.21.2
Credit and Other Debt Agreements - Summary of Corporate and Other Debt (Parenthetical) (Detail)
 9 Months Ended 12 Months Ended
Sep. 30, 2021
Dec. 31, 2020
Premium Financing Debt Facility [Member]    
Debt Instrument [Line Items]    
Periodic payments of interest and principal, expiry date Sep. 15, 2023 Sep. 15, 2023
Fixed Rate of 3.50%, Balloon Due May 20, 2051 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 3.50%  
Periodic payments of interest and principal, expiry date May 20, 2051  
Fixed Rate of 5.18%, Balloon Due February 10, 2021 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 5.18% 5.18%
Periodic payments of interest and principal, expiry date Feb. 10, 2021 Feb. 10, 2021
Fixed Rate of 3.69%, Balloon Due June 14, 2022 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 3.69% 3.69%
Periodic payments of interest and principal, expiry date Jun. 14, 2022 Jun. 14, 2022
Fixed Rate of 5.49%, Balloon Due February 10, 2023 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 5.49% 5.49%
Periodic payments of interest and principal, expiry date Feb. 10, 2023 Feb. 10, 2023
Fixed Rate of 4.13%, Balloon Due June 24, 2023 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.13% 4.13%
Periodic payments of interest and principal, expiry date Jun. 24, 2023 Jun. 24, 2023
Fixed Rate of 4.72%, Balloon due February 13, 2024 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.72% 4.72%
Periodic payments of interest and principal, expiry date Feb. 13, 2024 Feb. 13, 2024
Fixed Rate of 4.58%, Balloon Due February 27, 2024 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.58% 4.58%
Periodic payments of interest and principal, expiry date Feb. 27, 2024 Feb. 27, 2024
Floating Interest Rate of 1.40% LIBOR Plus Balloon Due June 13, 2024 [Member]    
Debt Instrument [Line Items]    
Periodic payments of interest and principal, expiry date Jun. 13, 2024 Jun. 13, 2024
Quarterly payments of interest rate 1.40% 1.40%
Quarterly payments of interest, description 90 day LIBOR plus  
Fixed Rate of 4.31%, Balloon Due June 24, 2025 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.31% 4.31%
Periodic payments of interest and principal, expiry date Jun. 24, 2025 Jun. 24, 2025
Fixed Rate of 4.85%, Balloon due February 13, 2026 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.85% 4.85%
Periodic payments of interest and principal, expiry date Feb. 13, 2026 Feb. 13, 2026
Fixed Rate of 4.73%, Balloon Due February 27, 2026 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.73% 4.73%
Periodic payments of interest and principal, expiry date Feb. 27, 2026 Feb. 27, 2026
Fixed Rate of 4.40%, Balloon Due June 2, 2026 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.40% 4.40%
Periodic payments of interest and principal, expiry date Jun. 02, 2026 Jun. 02, 2026
Fixed Rate of 4.36%, Balloon Due June 24, 2026 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.36% 4.36%
Periodic payments of interest and principal, expiry date Jun. 24, 2026 Jun. 24, 2026
Fixed Rate of 3.75%, Balloon Due January 30, 2027 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 3.75% 3.75%
Periodic payments of interest and principal, expiry date Jan. 30, 2027 Jan. 30, 2027
Fixed Rate of 4.09%, Balloon Due June 27, 2027 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.09% 4.09%
Periodic payments of interest and principal, expiry date Jun. 27, 2027 Jun. 27, 2027
Fixed Rate of 4.09%, Balloon Due August 2, 2027 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.09% 4.09%
Periodic payments of interest and principal, expiry date Aug. 02, 2027 Aug. 02, 2027
Fixed Rate of 4.14%, Balloon Due August 4, 2027 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.14% 4.14%
Periodic payments of interest and principal, expiry date Aug. 04, 2027 Aug. 04, 2027
Fixed Rate of 3.46%, Balloon Due December 1, 2027 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 3.46% 3.46%
Periodic payments of interest and principal, expiry date Dec. 01, 2027 Dec. 01, 2027
Fixed Rate of 4.55%, Balloon Due June 2, 2028 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.55% 4.55%
Periodic payments of interest and principal, expiry date Jun. 02, 2028 Jun. 02, 2028
Fixed Rate of 4.34%, Balloon due June 13, 2028 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.34% 4.34%
Periodic payments of interest and principal, expiry date Jun. 13, 2028 Jun. 13, 2028
Fixed Rate of 5.04%, Balloon due February 13, 2029 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 5.04% 5.04%
Periodic payments of interest and principal, expiry date Feb. 13, 2029 Feb. 13, 2029
Fixed Rate of 4.98%, Balloon Due February 27, 2029 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.98% 4.98%
Periodic payments of interest and principal, expiry date Feb. 27, 2029 Feb. 27, 2029
Fixed Rate of 4.19%, Balloon Due June 27, 2029 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.19% 4.19%
Periodic payments of interest and principal, expiry date Jun. 27, 2029 Jun. 27, 2029
Fixed Rate of 4.19%, Balloon Due August 2, 2029 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.19% 4.19%
Periodic payments of interest and principal, expiry date Aug. 02, 2029 Aug. 02, 2029
Fixed Rate of 3.48%, Balloon Due December 2, 2029 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 3.48% 3.48%
Periodic payments of interest and principal, expiry date Dec. 02, 2029 Dec. 02, 2029
Fixed Rate of 3.99%, Balloon Due January 30, 2030 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 3.99% 3.99%
Periodic payments of interest and principal, expiry date Jan. 30, 2030 Jan. 30, 2030
Fixed Rate of 4.44%, Balloon Due June 13, 2030 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.44% 4.44%
Periodic payments of interest and principal, expiry date Jun. 13, 2030 Jun. 13, 2030
Fixed Rate of 5.14%, Balloon due March 13, 2031 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 5.14% 5.14%
Periodic payments of interest and principal, expiry date Mar. 13, 2031 Mar. 13, 2031
Fixed Rate of 4.70%, Balloon Due June 2, 2031 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.70% 4.70%
Periodic payments of interest and principal, expiry date Jun. 02, 2031 Jun. 02, 2031
Fixed Rate of 2.46%, Balloon Due May 5, 2036 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 2.46% 2.46%
Periodic payments of interest and principal, expiry date May 05, 2036 May 05, 2036
Fixed Rate of 4.09%, Balloon Due January 30, 2032 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.09% 4.09%
Periodic payments of interest and principal, expiry date Jan. 30, 2032 Jan. 30, 2032
Fixed Rate of 4.34%, Balloon Due June 27, 2032 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.34% 4.34%
Periodic payments of interest and principal, expiry date Jun. 27, 2032 Jun. 27, 2032
Fixed Rate of 4.34%, Balloon Due August 2, 2032 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.34% 4.34%
Periodic payments of interest and principal, expiry date Aug. 02, 2032 Aug. 02, 2032
Fixed Rate of 4.59%, Balloon due June 13, 2033 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.59% 4.59%
Periodic payments of interest and principal, expiry date Jun. 13, 2033 Jun. 13, 2033
Fixed Rate of 5.29%, balloon due March 13, 2034 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 5.29% 5.29%
Periodic payments of interest and principal, expiry date Mar. 13, 2034 Mar. 13, 2034
Fixed Rate of 4.48%, Balloon Due June 12, 2034 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.48% 4.48%
Periodic payments of interest and principal, expiry date Jun. 12, 2034 Jun. 12, 2034
Fixed Rate of 4.24%, Balloon Due January 30, 2035 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.24% 4.24%
Periodic payments of interest and principal, expiry date Jan. 30, 2035 Jan. 30, 2035
Fixed Rate of 2.44%, Balloon Due February 10, 2036 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 2.44% 2.44%
Periodic payments of interest and principal, expiry date Feb. 10, 2036 Feb. 10, 2036
Fixed Rate of 4.69%, Balloon Due June 13, 2038 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.69% 4.69%
Periodic payments of interest and principal, expiry date Jun. 13, 2038 Jun. 13, 2038
Fixed Rate of 5.45%, balloon due March 13, 2039 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 5.45% 5.45%
Periodic payments of interest and principal, expiry date Mar. 13, 2039 Mar. 13, 2039
Fixed Rate of 4.49%, Balloon Due January 30, 2040 [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 4.49% 4.49%
Periodic payments of interest and principal, expiry date Jan. 30, 2040 Jan. 30, 2040
Prime or LIBOR Plus up to 1.45%, Expires June 7, 2024 [Member] | Credit Agreement [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 1.45% 1.45%
Periodic payments of interest and principal, expiry date Jun. 07, 2024 Jun. 07, 2024
Facility B [Member] | Interbank Rates Plus 1.200% Expires September 15, 2023 [Member] | Premium Financing Debt Facility [Member] | AUD Denominated Tranche [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 1.20% 1.20%
Facility B [Member] | Interbank Rates Plus 1.650% Expires September 15, 2023 [Member] | Premium Financing Debt Facility [Member] | NZD Denominated Tranche [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 1.65% 1.65%
Facility C and D [Member] | Interbank Rates Plus 0.680% Expires September 15, 2023 [Member] | Premium Financing Debt Facility [Member] | AUD Denominated Tranche [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 0.68% 0.68%
Facility C and D [Member] | Interbank Rates Plus 0.940% Expires September 15, 2023 [Member] | Premium Financing Debt Facility [Member] | NZD Denominated Tranche [Member]    
Debt Instrument [Line Items]    
Periodic Payment of Interest 0.94% 0.94%
v3.21.2
Credit and Other Debt Agreements - Additional Information (Detail) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Aug. 13, 2021
Jul. 29, 2021
May 20, 2021
Sep. 30, 2021
Sep. 30, 2021
Debt Instrument [Line Items]          
Loss on extinguishment of debt $ 16.2     $ 16.2 $ 16.2
Willis Towers Watson PLC [Member]          
Debt Instrument [Line Items]          
Agreement termination date   Jul. 29, 2021      
Unsecured Senior Notes [Member]          
Debt Instrument [Line Items]          
Notes issued and sold     $ 1,500.0    
Weighted average interest rate     3.31%    
Realized a cash gain (loss) on hedging transaction     $ (57.8)    
Derivative instrument, term     10 years    
Fixed Rate of 2.50%, Balloon Due May 20, 2031 [Member] | Unsecured Senior Notes [Member]          
Debt Instrument [Line Items]          
Notes issued and sold     $ 650.0    
Periodic Payment of Interest     2.50%    
Periodic payments of interest and principal, expiry year     2031    
Amount payable to redeem the notes, percent of the principal amount following transaction termination event     101.00%    
Number of days to occur reinsurance transaction termination event for note redemption     30 days    
Notes redemption date   Aug. 13, 2021      
Loss on extinguishment of debt 16.2        
Redemption premium 6.5        
Unamortized discount amount debt issuance and write-off debt acquisition costs $ 9.7        
Fixed Rate of 3.50%, Balloon Due May 20, 2051 [Member]          
Debt Instrument [Line Items]          
Periodic Payment of Interest       3.50% 3.50%
Fixed Rate of 3.50%, Balloon Due May 20, 2051 [Member] | Unsecured Senior Notes [Member]          
Debt Instrument [Line Items]          
Notes issued and sold     $ 850.0    
Periodic Payment of Interest     3.50%    
Periodic payments of interest and principal, expiry year     2051    
v3.21.2
Earnings Per Share - Computation of Basic and Diluted Net EPS (Detail) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Sep. 30, 2021
Sep. 30, 2020
Earnings Per Share [Abstract]        
Net earnings attributable to controlling interests $ 225.1 $ 176.6 $ 797.4 $ 676.6
Weighted average number of common shares outstanding 207.0 191.9 201.0 190.4
Dilutive effect of stock options using the treasury stock method 4.5 4.4 4.5 4.1
Weighted average number of common and common equivalent shares outstanding 211.5 196.3 205.5 194.5
Basic net earnings per share $ 1.09 $ 0.92 $ 3.97 $ 3.55
Diluted net earnings per share $ 1.06 $ 0.90 $ 3.88 $ 3.48
v3.21.2
Earnings Per Share - Additional Information (Detail) - shares
shares in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Sep. 30, 2021
Sep. 30, 2020
Earnings Per Share [Abstract]        
Anti-dilutive stock-based awards shares outstanding 1.6 0.0 1.2 1.0
v3.21.2
Stock Option Plans - Additional information (Detail) - USD ($)
$ / shares in Units, $ in Millions
 3 Months Ended 9 Months Ended
Mar. 16, 2021
Mar. 12, 2020
Sep. 30, 2021
Jun. 30, 2021
Mar. 31, 2021
Sep. 30, 2020
Jun. 30, 2020
Mar. 31, 2020
Sep. 30, 2021
Sep. 30, 2020
Stock Option Plans [Line Items]                    
Compensation expense related to stock option grants     $ 4.7 $ 4.5 $ 3.7 $ 3.4 $ 3.3 $ 3.4 $ 12.9 $ 10.1
Total intrinsic value of options exercised                 93.6 $ 68.7
Total unrecognized compensation cost related to nonvested options     $ 52.4           $ 52.4  
Weighted average period, years                 4 years  
Black-Scholes Option Pricing Model [Member]                    
Stock Option Plans [Line Items]                    
Weighted average fair value per option for all options                 $ 23.38 $ 9.99
Long Term Incentive Plan [Member]                    
Stock Option Plans [Line Items]                    
Maximum number of shares available                 1,800,000  
Shares available for grant     9,500,000           9,500,000  
Long Term Incentive Plan [Member] | Officer and Key Employees [Member]                    
Stock Option Plans [Line Items]                    
Shares available for grant 1,640,000 1,590,740                
Stock options granted, exercise percentage, on the third anniversary date of the grant 34.00% 34.00%                
Stock options granted, exercise percentage, on the fourth anniversary date of the grant 33.00% 33.00%                
Stock options granted, exercise percentage, on the fifth anniversary date of the grant 33.00% 33.00%                
Long Term Incentive Plan [Member] | Maximum [Member]                    
Stock Option Plans [Line Items]                    
Minimum exercise price of stock options, percent of fair market value of a share of common stock on the date of grant                 100.00%  
Maximum period for the exercise of stock options, years                 7 years 7 years
Long Term Incentive Plan [Member] | Minimum [Member]                    
Stock Option Plans [Line Items]                    
Period of service from grant date stock options awarded not subject to forfeiture                 2 years 2 years
Long Term Incentive Plan [Member] | Minimum [Member] | Executive Officer [Member]                    
Stock Option Plans [Line Items]                    
Minimum age of employee with not subject to award forfeiture on condition compliance                 55 years 55 years
2017 Long Term Incentive Plan [Member]                    
Stock Option Plans [Line Items]                    
Number Of Periods Options Expire                 7 years  
v3.21.2
Stock Option Plans - Black-Scholes Option Pricing Model with Weighted Average (Detail) - $ / shares
 9 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]    
Expected dividend yield $ 1.5 $ 2.1
Expected risk-free interest rate 0.90% 0.70%
Volatility 22.90% 17.30%
Expected life (in years) 5 years 4 months 24 days 5 years 4 months 24 days
v3.21.2
Stock Option Plans - Stock Option Activity and Related Information (Detail) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 9 Months Ended
Sep. 30, 2021
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]  
Shares Under Option, Beginning balance 7.5
Shares Under Option, Granted 1.6
Shares Under Option, Exercised (1.1)
Shares Under Option, Forfeited or canceled (0.1)
Shares Under Option, Ending balance 7.9
Shares Under Option, Exercisable at end of year 2.3
Shares Under Option, Ending unvested and expected to vest 5.1
Weighted Average Exercise Price, Beginning balance $ 65.09
Weighted Average Exercise Price, Granted 127.90
Weighted Average Exercise Price, Exercised 49.30
Weighted Average Exercise Price, Forfeited or canceled 86.21
Weighted Average Exercise Price, Ending balance 80.17
Weighted Average Exercise Price, Exercisable at end of year 51.05
Weighted Average Exercise Price, Ending unvested and expected to vest $ 91.53
Weighted Average Remaining Contractual Term (in years), Ending balance 4 years 18 days
Weighted Average Remaining Contractual Term (in years), Exercisable at end of year 1 year 9 months 3 days
Weighted Average Remaining Contractual Term (in years), Ending unvested and expected to vest 4 years 11 months 19 days
Aggregate Intrinsic Value, Ending Balance $ 539.1
Aggregate Intrinsic Value, Exercisable at end of year 228.0
Aggregate Intrinsic Value, Ending unvested and expected to vest $ 293.8
v3.21.2
Stock Option Plans - Stock Options Outstanding and Exercisable (Detail) - $ / shares
shares in Millions
 9 Months Ended
Sep. 30, 2021
Dec. 31, 2020
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]    
Range of Exercise Prices, minimum $ 43.71  
Range of Exercise Prices, maximum $ 127.90  
Option Outstanding, Number Outstanding 7.9  
Option Outstanding, Weighted Average Remaining Contractual Term (in years) 4 years 18 days  
Option Outstanding, Weighted Average Exercise Price $ 80.17 $ 65.09
Options Exercisable, Number Exercisable 2.3  
Option Exercisable, Weighted Average Exercise Price $ 51.05  
Exercise Prices Range $ 43.71 - $ 43.71 [Member]    
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]    
Range of Exercise Prices, minimum 43.71  
Range of Exercise Prices, maximum $ 43.71  
Option Outstanding, Number Outstanding 1.0  
Option Outstanding, Weighted Average Remaining Contractual Term (in years) 1 year 5 months 15 days  
Option Outstanding, Weighted Average Exercise Price $ 43.71  
Options Exercisable, Number Exercisable 0.9  
Option Exercisable, Weighted Average Exercise Price $ 43.71  
Exercise Prices Range $ 46.17 - $ 46.17 [Member]    
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]    
Range of Exercise Prices, minimum 46.17  
Range of Exercise Prices, maximum $ 46.17  
Option Outstanding, Number Outstanding 0.5  
Option Outstanding, Weighted Average Remaining Contractual Term (in years) 5 months 8 days  
Option Outstanding, Weighted Average Exercise Price $ 46.17  
Options Exercisable, Number Exercisable 0.5  
Option Exercisable, Weighted Average Exercise Price $ 46.17  
Exercise Prices Range $ 49.55 - $ 56.86 [Member]    
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]    
Range of Exercise Prices, minimum 49.55  
Range of Exercise Prices, maximum $ 56.86  
Option Outstanding, Number Outstanding 1.1  
Option Outstanding, Weighted Average Remaining Contractual Term (in years) 2 years 5 months 15 days  
Option Outstanding, Weighted Average Exercise Price $ 56.83  
Options Exercisable, Number Exercisable 0.6  
Option Exercisable, Weighted Average Exercise Price $ 56.81  
Exercise Prices Range $ 70.74 - $ 70.74 [Member]    
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]    
Range of Exercise Prices, minimum 70.74  
Range of Exercise Prices, maximum $ 70.74  
Option Outstanding, Number Outstanding 1.0  
Option Outstanding, Weighted Average Remaining Contractual Term (in years) 3 years 5 months 15 days  
Option Outstanding, Weighted Average Exercise Price $ 70.74  
Options Exercisable, Number Exercisable 0.3  
Option Exercisable, Weighted Average Exercise Price $ 70.74  
Exercise Prices Range $ 79.59 - $ 79.59 [Member]    
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]    
Range of Exercise Prices, minimum 79.59  
Range of Exercise Prices, maximum $ 79.59  
Option Outstanding, Number Outstanding 1.2  
Option Outstanding, Weighted Average Remaining Contractual Term (in years) 4 years 5 months 12 days  
Option Outstanding, Weighted Average Exercise Price $ 79.59  
Option Exercisable, Weighted Average Exercise Price 79.59  
Exercise Prices Range $ 86.17 - $ 86.17 [Member]    
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]    
Range of Exercise Prices, minimum 86.17  
Range of Exercise Prices, maximum $ 86.17  
Option Outstanding, Number Outstanding 1.5  
Option Outstanding, Weighted Average Remaining Contractual Term (in years) 5 years 5 months 12 days  
Option Outstanding, Weighted Average Exercise Price $ 86.17  
Option Exercisable, Weighted Average Exercise Price 86.17  
Exercise Prices Range $ 127.90 - $ 127.90 [Member]    
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]    
Range of Exercise Prices, minimum 127.90  
Range of Exercise Prices, maximum $ 127.90  
Option Outstanding, Number Outstanding 1.6  
Option Outstanding, Weighted Average Remaining Contractual Term (in years) 6 years 5 months 15 days  
Option Outstanding, Weighted Average Exercise Price $ 127.90  
v3.21.2
Deferred Compensation - Additional Information (Detail) - USD ($)
shares in Millions
 3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2021
Mar. 31, 2021
Sep. 30, 2020
Mar. 31, 2020
Sep. 30, 2021
Sep. 30, 2020
Dec. 31, 2020
Investments And Employee Deferred Compensation Plan [Line Items]              
Deferred Equity Participation Plan, distributions to key executives, age         age 62 (or the one-year anniversary of the date of the grant for participants over the age of 61 as of the grant date) or upon or after their actual retirement if later.    
Deferred Equity Participation Sub-plans, distributions requisite service description         we annually make awards under sub-plans of the DEPP for certain production staff, which generally provide for vesting and/or distributions no sooner than five years from the date of awards, although certain awards vest and/or distribute after the earlier of fifteen years or the participant reaching age 65.    
Deferred Equity Participation Sub-plans, distributions to key executives, age         age 65    
Deferred Equity Participation Plan (DEPP) [Member]              
Investments And Employee Deferred Compensation Plan [Line Items]              
Awards approved by committee, value   $ 17,000,000.0   $ 14,100,000      
Charge to compensation expenses related to awards $ 3,800,000   $ 3,000,000.0   $ 10,300,000 $ 9,000,000.0  
Unearned deferred compensation, value         $ 74,300,000   $ 60,500,000
Unearned deferred compensation, shares         2.7   2.6
Total intrinsic value of unvested equity based awards         $ 402,800,000   $ 327,800,000
Cash and equity awards with aggregate fair value vested and distributed to participants         10,100,000 9,800,000  
Deferred Equity Participation Plan Sub Plans [Member]              
Investments And Employee Deferred Compensation Plan [Line Items]              
Awards approved by committee, value   3,200,000   1,800,000      
Charge to compensation expenses related to awards 500,000   700,000   1,900,000 2,100,000  
Distributions from the sub-plans         0 0  
Deferred Cash Participation Plan (DCPP) [Member]              
Investments And Employee Deferred Compensation Plan [Line Items]              
Awards approved by committee, value   $ 7,200,000   $ 3,000,000.0      
Charge to compensation expenses related to awards $ 2,900,000   $ 1,600,000   7,000,000.0 5,000,000.0  
Cash and equity awards with aggregate fair value vested and distributed to participants         $ 6,700,000 $ 7,300,000  
v3.21.2
Restricted Stock, Performance Share and Cash Awards - Additional Information (Detail)
 3 Months Ended 9 Months Ended
Mar. 16, 2021
USD ($)
shares
Mar. 12, 2020
USD ($)
shares
Sep. 30, 2021
USD ($)
shares
Mar. 31, 2021
USD ($)
shares
Sep. 30, 2020
USD ($)
shares
Mar. 31, 2020
USD ($)
shares
Mar. 31, 2019
shares
Sep. 30, 2021
USD ($)
TIME
shares
Sep. 30, 2020
USD ($)
shares
Dec. 31, 2020
shares
Mar. 14, 2019
USD ($)
shares
Mar. 15, 2018
USD ($)
shares
Common Stock Options Restricted Stock Warrants And Changes In Capitalization [Line Items]                        
Share-based compensation, shares outstanding | shares     7,900,000         7,900,000   7,500,000    
Restricted Stock Units (RSUs) [Member]                        
Common Stock Options Restricted Stock Warrants And Changes In Capitalization [Line Items]                        
Shares granted in the period | shares       314,000   405,900            
Fair value of grants in period       $ 40,100,000   $ 34,900,000            
Share based payment award vesting date       Mar. 16, 2026   Mar. 12, 2025            
Period of service from grant date stock options awarded not subject to forfeiture       2 years   2 years            
Restricted stock or unit expense     $ 6,700,000   $ 5,500,000     $ 20,200,000 $ 17,000,000.0      
Unvested Restricted Stock [Member]                        
Common Stock Options Restricted Stock Warrants And Changes In Capitalization [Line Items]                        
Total intrinsic value     293,400,000   221,100,000     293,400,000 221,100,000      
Equity awards with an aggregate fair value     500,000         48,600,000 30,600,000      
Performance Shares [Member]                        
Common Stock Options Restricted Stock Warrants And Changes In Capitalization [Line Items]                        
Restricted stock or unit expense     3,100,000   3,100,000     9,300,000 11,600,000      
Total intrinsic value     48,300,000   35,400,000     48,300,000 35,400,000      
Equity awards with an aggregate fair value               $ 19,100,000 12,500,000      
Shares authorized | shares 67,000 82,500                    
Performance share awards approved, Fair value $ 8,600,000 $ 7,100,000                    
Vesting period, years       2 years                
2017 Performance Share Awards [Member]                        
Common Stock Options Restricted Stock Warrants And Changes In Capitalization [Line Items]                        
Provisional awards, terms               The 2021 and 2020 awards are subject to a three-year performance period that began on January 1, 2021 and 2020, respectively, and vest on the three-year anniversary of the date of grant (March 16, 2024 and March 12, 2023).        
2019 Provisional Cash Awards [Member]                        
Common Stock Options Restricted Stock Warrants And Changes In Capitalization [Line Items]                        
Cash-based compensation awards, expenses     2,800,000   2,900,000     $ 8,800,000 7,200,000      
Performance awards expiration date               Jan. 01, 2022        
2020 Provisional Cash Awards [Member]                        
Common Stock Options Restricted Stock Warrants And Changes In Capitalization [Line Items]                        
Cash-based compensation awards, expenses     $ 3,200,000         $ 9,400,000        
Performance awards expiration date               Jan. 01, 2023        
2018 Provisional Cash Awards [Member]                        
Common Stock Options Restricted Stock Warrants And Changes In Capitalization [Line Items]                        
Provisional compensation cash award approved for future grant by compensation committee, units | shares     176,300         176,300        
Cash-based compensation awards, expenses         $ 2,700,000     $ 17,700,000 $ 6,800,000      
Performance awards expiration date             Jan. 01, 2021          
2017 Provisional Cash Awards [Member]                        
Common Stock Options Restricted Stock Warrants And Changes In Capitalization [Line Items]                        
Provisional compensation cash award approved for future grant by compensation committee, units | shares         221,600       221,600      
Cash-based compensation awards, expenses                 $ 18,900,000      
Executive Officer [Member] | Restricted Stock Units (RSUs) [Member] | Minimum [Member]                        
Common Stock Options Restricted Stock Warrants And Changes In Capitalization [Line Items]                        
Minimum age of employee with not subject to award forfeiture on condition compliance       55 years   55 years            
Officer and Key Employees [Member]                        
Common Stock Options Restricted Stock Warrants And Changes In Capitalization [Line Items]                        
Performance awards period, years 1 year                      
Officer and Key Employees [Member] | Cash Awards [Member]                        
Common Stock Options Restricted Stock Warrants And Changes In Capitalization [Line Items]                        
Provisional awards, terms               The ultimate award value will be equal to the trailing twelve-month price of our common stock on December 31, 2023, multiplied by the number of units subject to the award, but limited to between 0.5 and 1.5 times the original value of the units determined as of the grant date.        
Vesting period, years 3 years                      
Provisional compensation cash awards approved for future grant by compensation committee, value $ 18,800,000 $ 18,400,000                 $ 16,500,000 $ 15,000,000.0
Provisional compensation cash award approved for future grant by compensation committee, units | shares 147,000 213,000   208,000   200,000 190,000       206,800 219,000
Ultimate award value, multiples of original value of the units, minimum | TIME               0.5        
Ultimate award value, multiples of original value of the units, maximum | TIME               1.5        
Cash-based compensation awards, expenses               $ 0        
Long Term Incentive Plan [Member]                        
Common Stock Options Restricted Stock Warrants And Changes In Capitalization [Line Items]                        
Share-based compensation, shares outstanding, Value     $ 4,000,000.0         $ 4,000,000.0        
Share-based compensation, shares outstanding | shares     1,800,000         1,800,000        
Shares granted in the period | shares               1,800,000        
Long Term Incentive Plan [Member] | Minimum [Member]                        
Common Stock Options Restricted Stock Warrants And Changes In Capitalization [Line Items]                        
Period of service from grant date stock options awarded not subject to forfeiture               2 years 2 years      
Long Term Incentive Plan [Member] | Executive Officer [Member] | Minimum [Member]                        
Common Stock Options Restricted Stock Warrants And Changes In Capitalization [Line Items]                        
Minimum age of employee with not subject to award forfeiture on condition compliance               55 years 55 years      
v3.21.2
Investments - Investments Reported in Other Current and Non-Current Assets (Detail) - USD ($)
$ in Millions
Sep. 30, 2021
Dec. 31, 2020
Schedule of Equity Method Investments [Line Items]    
Assets $ 14.1 $ 22.4
Funding Commitments 0.5  
Chem-Mod LLC [Member]    
Schedule of Equity Method Investments [Line Items]    
Assets 4.0 4.0
Chem-Mod International LLC [Member]    
Schedule of Equity Method Investments [Line Items]    
Assets 2.0 2.0
Clean-Coal Investments [Member] | Noncontrolling Interests [Member] | One 2011 Era Clean Coal Plant [Member]    
Schedule of Equity Method Investments [Line Items]    
Assets   0.1
Clean-Coal Investments [Member] | Controlling Interest [Member] | Twenty 2011 Era Clean Coal Plants [Member]    
Schedule of Equity Method Investments [Line Items]    
Assets 2.6 12.4
Other Investments [Member]    
Schedule of Equity Method Investments [Line Items]    
Assets 5.5 $ 3.9
Funding Commitments $ 0.5  
v3.21.2
Derivatives and Hedging Activity - Summary of Notional and Fair Values of Derivative Instruments (Detail) - USD ($)
Sep. 30, 2021
Dec. 31, 2020
Derivatives, Fair Value [Line Items]    
Notional Amount $ 1,022,500,000 $ 598,600,000
Derivatives Assets 18,200,000 13,700,000
Derivative Liabilities 9,800,000 69,300,000
Interest Rate Contracts [Member]    
Derivatives, Fair Value [Line Items]    
Notional Amount 1,000,000,000.0 550,000,000.0
Interest Rate Contracts [Member] | Other current Assets [Member]    
Derivatives, Fair Value [Line Items]    
Derivatives Assets 5,900,000  
Interest Rate Contracts [Member] | Other noncurrent Assets [Member]    
Derivatives, Fair Value [Line Items]    
Derivatives Assets 5,900,000  
Interest Rate Contracts [Member] | Accrued compensation and other current liabilities [Member]    
Derivatives, Fair Value [Line Items]    
Derivative Liabilities 300,000 54,500,000
Interest Rate Contracts [Member] | Other noncurrent Liabilities [Member]    
Derivatives, Fair Value [Line Items]    
Derivative Liabilities 4,200,000 10,900,000
Foreign Exchange Contracts [Member]    
Derivatives, Fair Value [Line Items]    
Notional Amount [1] 22,500,000 48,600,000
Foreign Exchange Contracts [Member] | Other current Assets [Member]    
Derivatives, Fair Value [Line Items]    
Derivatives Assets [1] 4,500,000 5,900,000
Foreign Exchange Contracts [Member] | Other noncurrent Assets [Member]    
Derivatives, Fair Value [Line Items]    
Derivatives Assets 1,900,000 7,800,000
Foreign Exchange Contracts [Member] | Accrued compensation and other current liabilities [Member]    
Derivatives, Fair Value [Line Items]    
Derivative Liabilities [1] 900,000 600,000
Foreign Exchange Contracts [Member] | Other noncurrent Liabilities [Member]    
Derivatives, Fair Value [Line Items]    
Derivative Liabilities $ 4,400,000 $ 3,300,000
[1] Included within foreign exchange contracts at September 30, 2021 were $365.8 million of call options, offset with $365.8 million of put options, and $12.1 million of buy forwards, offset with $34.6 million of sell forwards.  Included within foreign exchange contracts at December 31, 2020 were $354.7 million of call options, offset with $354.7 million of put options, and $9.0 million of buy forwards, offset with $57.6 million of sell forwards.
v3.21.2
Derivatives and Hedging Activity - Summary of Notional and Fair Values of Derivative Instruments (Parenthetical) (Detail) - Foreign Exchange Contracts [Member] - USD ($)
$ in Millions
Sep. 30, 2021
Dec. 31, 2020
Call Options [Member]    
Derivatives, Fair Value [Line Items]    
Foreign exchange derivative contracts $ 365.8 $ 354.7
Put Options [Member]    
Derivatives, Fair Value [Line Items]    
Foreign exchange derivative contracts 365.8 354.7
Forward Contracts [Member] | Call Options [Member]    
Derivatives, Fair Value [Line Items]    
Foreign exchange derivative contracts 34.6 57.6
Forward Contracts [Member] | Put Options [Member]    
Derivatives, Fair Value [Line Items]    
Foreign exchange derivative contracts $ 12.1 $ 9.0
v3.21.2
Derivatives and Hedging Activity - Summary of Amounts of Derivative Gains (Losses) Recognized In Accumulated Other Comprehensive Loss (Detail) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Sep. 30, 2021
Sep. 30, 2020
Derivative Instruments, Gain (Loss) [Line Items]        
Amount of Gain (Loss) Recognized in Accumulated Other Comprehensive Loss [1] $ 5.6 $ 10.4 $ 33.6 $ (115.0)
Amount of Loss Reclassified from Accumulated Other Comprehensive Loss into Earnings (1.0) (1.4) (4.7) (3.9)
Amount of Gain (Loss) Recognized in Earnings Related to Amount Excluded from Effectiveness Testing 0.5 0.7 1.4 1.4
Interest expense [Member] | Interest Rate Contracts [Member]        
Derivative Instruments, Gain (Loss) [Line Items]        
Amount of Gain (Loss) Recognized in Accumulated Other Comprehensive Loss [1] 11.2 3.4 45.3 (104.7)
Amount of Loss Reclassified from Accumulated Other Comprehensive Loss into Earnings (0.3) (0.3) (0.9) (0.9)
Commission revenue [Member] | Foreign Exchange Contracts [Member]        
Derivative Instruments, Gain (Loss) [Line Items]        
Amount of Gain (Loss) Recognized in Accumulated Other Comprehensive Loss [1] (5.6) 7.0 (11.7) (10.3)
Amount of Loss Reclassified from Accumulated Other Comprehensive Loss into Earnings (0.4) (0.4) (2.7) (0.9)
Amount of Gain (Loss) Recognized in Earnings Related to Amount Excluded from Effectiveness Testing 0.2 (0.1)   (0.4)
Compensation expense [Member]        
Derivative Instruments, Gain (Loss) [Line Items]        
Amount of Loss Reclassified from Accumulated Other Comprehensive Loss into Earnings (0.1) (0.4) (0.6) (1.2)
Amount of Gain (Loss) Recognized in Earnings Related to Amount Excluded from Effectiveness Testing 0.2 0.4 0.8 1.0
Operating expense [Member]        
Derivative Instruments, Gain (Loss) [Line Items]        
Amount of Loss Reclassified from Accumulated Other Comprehensive Loss into Earnings (0.2) (0.3) (0.5) (0.9)
Amount of Gain (Loss) Recognized in Earnings Related to Amount Excluded from Effectiveness Testing $ 0.1 $ 0.4 $ 0.6 $ 0.8
[1] For the three and nine-month periods ended September 30, 2021, the amount excluded from the assessment of hedge effectiveness for our foreign exchange contracts recognized in accumulated other comprehensive loss was a loss of zero and $1.2 million, respectively.  For the three and nine-month periods ended September 30, 2020, the amount excluded from the assessment of hedge effectiveness for our foreign exchange contracts recognized in accumulated other comprehensive loss was a loss of $0.4 million and $0.8 million, respectively.
v3.21.2
Derivatives and Hedging Activity - Summary of Amounts of Derivative Gains (Losses) Recognized In Accumulated Other Comprehensive Loss (Parenthetical) (Detail) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2021
Jun. 30, 2021
Mar. 31, 2021
Sep. 30, 2020
Jun. 30, 2020
Mar. 31, 2020
Sep. 30, 2021
Sep. 30, 2020
Derivative Instruments, Gain (Loss) [Line Items]                
Other comprehensive income (loss), foreign currency transaction and translation adjustment, net of tax $ (97.8) $ 30.1 $ 58.6 $ 102.4 $ 249.9 $ (380.1)    
Foreign Exchange [Member]                
Derivative Instruments, Gain (Loss) [Line Items]                
Other comprehensive income (loss), foreign currency transaction and translation adjustment, net of tax $ 0.0     $ 0.4     $ 1.2 $ 0.8
v3.21.2
Derivatives and Hedging Activity - Additional Information (Detail)
$ in Millions
 12 Months Ended
Dec. 31, 2021
USD ($)
Scenario, Forecast [Member]  
Derivative Instruments, Gain (Loss) [Line Items]  
Estimated pretax loss to be reclassified from accumulated other comprehensive loss into earnings $ 8.1
v3.21.2
Commitments, Contingencies and Off-Balance Sheet Arrangements - Contractual Obligations (Detail)
$ in Millions
Sep. 30, 2021
USD ($)
Senior Notes [Member]  
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]  
Contractual Obligations, Payments Due by Period, Thereafter $ 850.0
Contractual Obligations, Payments Due by Period, Total 850.0
Note Purchase Agreements [Member]  
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]  
Contractual Obligations, Payments Due by Period, 2022 200.0
Contractual Obligations, Payments Due by Period, 2023 250.0
Contractual Obligations, Payments Due by Period, 2024 475.0
Contractual Obligations, Payments Due by Period, 2025 200.0
Contractual Obligations, Payments Due by Period, Thereafter 3,323.0
Contractual Obligations, Payments Due by Period, Total 4,448.0
Premium Financing Debt Facility [Member]  
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]  
Contractual Obligations, Payments Due by Period, 2021 234.1
Contractual Obligations, Payments Due by Period, Total 234.1
Interest On Debt [Member]  
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]  
Contractual Obligations, Payments Due by Period, 2021 59.9
Contractual Obligations, Payments Due by Period, 2022 217.7
Contractual Obligations, Payments Due by Period, 2023 208.7
Contractual Obligations, Payments Due by Period, 2024 192.0
Contractual Obligations, Payments Due by Period, 2025 177.4
Contractual Obligations, Payments Due by Period, Thereafter 1,406.9
Contractual Obligations, Payments Due by Period, Total 2,262.6
Total Debt Obligations [Member]  
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]  
Contractual Obligations, Payments Due by Period, 2021 294.0
Contractual Obligations, Payments Due by Period, 2022 417.7
Contractual Obligations, Payments Due by Period, 2023 458.7
Contractual Obligations, Payments Due by Period, 2024 667.0
Contractual Obligations, Payments Due by Period, 2025 377.4
Contractual Obligations, Payments Due by Period, Thereafter 5,579.9
Contractual Obligations, Payments Due by Period, Total 7,794.7
Operating Lease Obligations [Member]  
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]  
Contractual Obligations, Payments Due by Period, 2021 21.8
Contractual Obligations, Payments Due by Period, 2022 102.0
Contractual Obligations, Payments Due by Period, 2023 81.9
Contractual Obligations, Payments Due by Period, 2024 59.5
Contractual Obligations, Payments Due by Period, 2025 45.5
Contractual Obligations, Payments Due by Period, Thereafter 88.2
Contractual Obligations, Payments Due by Period, Total 398.9
Less Sublease Arrangements [Member]  
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]  
Contractual Obligations, Payments Receivable by Period, 2021 (0.3)
Contractual Obligations, Payments Receivable by Period, 2022 (0.8)
Contractual Obligations, Payments Receivable by Period, 2023 (0.6)
Contractual Obligations, Payments Receivable by Period, 2024 (0.3)
Contractual Obligations, Payments Receivable by Period, 2025 (0.2)
Contractual Obligations, Payments Receivable by Period, Thereafter (0.5)
Contractual Obligations, Payments Receivable by Period, Total (2.7)
Outstanding Purchase Obligations [Member]  
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]  
Contractual Obligations, Payments Due by Period, 2021 33.5
Contractual Obligations, Payments Due by Period, 2022 68.9
Contractual Obligations, Payments Due by Period, 2023 47.3
Contractual Obligations, Payments Due by Period, 2024 30.7
Contractual Obligations, Payments Due by Period, 2025 22.9
Contractual Obligations, Payments Due by Period, Thereafter 37.4
Contractual Obligations, Payments Due by Period, Total 240.7
Total Contractual Obligations [Member]  
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]  
Contractual Obligations, Payments Due by Period, 2021 349.0
Contractual Obligations, Payments Due by Period, 2022 587.8
Contractual Obligations, Payments Due by Period, 2023 587.3
Contractual Obligations, Payments Due by Period, 2024 756.9
Contractual Obligations, Payments Due by Period, 2025 445.6
Contractual Obligations, Payments Due by Period, Thereafter 5,705.0
Contractual Obligations, Payments Due by Period, Total $ 8,431.6
v3.21.2
Commitments, Contingencies and Off-Balance Sheet Arrangements - Additional Information (Detail)
 3 Months Ended 9 Months Ended 237 Months Ended
Jul. 29, 2021
Sep. 30, 2021
USD ($)
ft²
Entity
LetterOfCredit
Sep. 30, 2020
Entity
Sep. 30, 2021
USD ($)
ft²
Entity
Employee
LetterOfCredit
Sep. 30, 2020
USD ($)
Entity
Sep. 30, 2021
USD ($)
ft²
Entity
LetterOfCredit
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Number of square feet | ft²   360,000   360,000   360,000
Number of employees will accommodate at new facility | Employee       2,000    
Number of companies acquired | Entity   44 55 80 126 602
Aggregate amount of maximum earnout obligations related to acquisitions       $ 1,026,100,000 $ 1,026,100,000  
Aggregate amount of maximum earnout obligations related to acquisitions, recorded in consolidated balance sheet       578,700,000 $ 578,700,000  
Aggregate amount of earnout obligation expected settlement in cash or stock at option   $ 560,500,000   560,500,000   $ 560,500,000
Aggregate amount of earnout obligation expected settlement in cash   $ 18,200,000   18,200,000   $ 18,200,000
Income tax credits and adjustments       $ 108,000,000.0    
Security Deposit [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Number of letters of credit issued | LetterOfCredit   1   1   1
Collateral [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Number of letters of credit issued | LetterOfCredit   1   1   1
Self-Insurance Deductibles [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Number of letters of credit issued | LetterOfCredit   2   2   2
Rent-A-Captive Facility [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Number of letters of credit issued | LetterOfCredit   6   6   6
Errors And Omissions [Member] | Up to $4.5 Million [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Insurance claims, amount retained       $ 2,000,000.0    
Errors And Omissions [Member] | Up to $10 Million [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Insurance claims, amount retained       15,000,000.0    
Insurance claim arise during ordinary course of business   $ 15,000,000.0   15,000,000.0   $ 15,000,000.0
Errors And Omissions [Member] | Up to $20.0 Million [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Insurance claims, amount retained       20,000,000.0    
Errors And Omissions [Member] | Up to $27.0 Million [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Insurance claims, amount retained       10,000,000.0    
Letter of Credit [Member] | Security Deposit [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Debt   500,000   500,000   500,000
Letter of Credit [Member] | Collateral [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Debt   900,000   900,000   900,000
Letter of Credit [Member] | Self-Insurance Deductibles [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Debt   9,400,000   9,400,000   9,400,000
Liabilities recorded on self-insurance   18,700,000   18,700,000   18,700,000
Letter of Credit [Member] | Rent-A-Captive Facility [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Debt   4,300,000   4,300,000   4,300,000
Minimum [Member] | Errors And Omissions [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Actuarial range value   2,800,000   2,800,000   2,800,000
Minimum [Member] | Errors And Omissions [Member] | Up to $4.5 Million [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Insurance claim arise during ordinary course of business   15,000,000.0   15,000,000.0   15,000,000.0
Minimum [Member] | Errors And Omissions [Member] | Up to $20.0 Million [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Insurance claim arise during ordinary course of business   100,000,000.0   100,000,000.0   100,000,000.0
Minimum [Member] | Errors And Omissions [Member] | Up to $27.0 Million [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Insurance claim arise during ordinary course of business   225,000,000.0   225,000,000.0   225,000,000.0
Maximum [Member] | Errors And Omissions [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Actuarial range value   7,400,000   7,400,000   7,400,000
Maximum [Member] | Errors And Omissions [Member] | Up to $4.5 Million [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Insurance claim arise during ordinary course of business   100,000,000.0   100,000,000.0   100,000,000.0
Maximum [Member] | Errors And Omissions [Member] | Up to $20.0 Million [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Insurance claim arise during ordinary course of business   225,000,000.0   225,000,000.0   225,000,000.0
Maximum [Member] | Errors And Omissions [Member] | Up to $27.0 Million [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Insurance claim arise during ordinary course of business   $ 365,000,000.0   $ 365,000,000.0   $ 365,000,000.0
Unconsolidated Investments in Enterprises [Member] | Minimum [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Ownership interest   1.00%   1.00%   1.00%
Unconsolidated Investments in Enterprises [Member] | Maximum [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Ownership interest   50.00%   50.00%   50.00%
Unsecured Senior Notes [Member] | Fixed Rate of 2.50%, Balloon Due May 20, 2031 [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Notes redemption date Aug. 13, 2021          
Unsecured Senior Notes [Member] | Fixed Rate of 2.50%, Balloon Due May 20, 2031 [Member] | Private Placement [Member]            
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]            
Notes redemption date Aug. 13, 2021          
v3.21.2
Commitments, Contingencies and Off-Balance Sheet Arrangements - Off-Balance Sheet Commitments (Detail)
$ in Millions
 9 Months Ended
Sep. 30, 2021
USD ($)
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]  
Amount of Commitment Expiration by Period - 2021 $ 0.8
Amount of Commitment Expiration by Period - 2022 1.4
Amount of Commitment Expiration by Period - 2023 1.5
Amount of Commitment Expiration by Period - 2024 2.3
Amount of Commitment Expiration by Period - 2025 0.2
Amount of Commitment Expiration by Period - Thereafter 15.3
Total Amounts Committed 21.5
Funding Commitments [Member]  
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]  
Amount of Commitment Expiration by Period - 2021 0.5
Total Amounts Committed 0.5
Financial Guarantees [Member]  
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]  
Amount of Commitment Expiration by Period - 2021 0.3
Amount of Commitment Expiration by Period - 2022 1.4
Amount of Commitment Expiration by Period - 2023 1.5
Amount of Commitment Expiration by Period - 2024 2.3
Amount of Commitment Expiration by Period - 2025 0.2
Amount of Commitment Expiration by Period - Thereafter 0.2
Total Amounts Committed 5.9
Letters of Credit [Member]  
Commitments Contingencies And Off Balance Sheet Arrangements [Line Items]  
Amount of Commitment Expiration by Period - Thereafter 15.1
Total Amounts Committed $ 15.1
v3.21.2
Supplemental Disclosures of Cash Flow Information - Cash Flow (Detail) - USD ($)
$ in Millions
 9 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Cash And Cash Equivalents [Abstract]    
Interest paid $ 150.4 $ 144.8
Income taxes paid, net $ 235.2 $ 65.6
v3.21.2
Supplemental Disclosures of Cash Flow Information - Cash Equivalents And Restricted Cash (Detail) - USD ($)
$ in Millions
Sep. 30, 2021
Dec. 31, 2020
Sep. 30, 2020
Cash And Cash Equivalents [Abstract]      
Cash and cash equivalents $ 2,735.1 $ 664.6 $ 629.9
Restricted cash 3,277.2 $ 2,909.7 2,844.9
Total cash, cash equivalents and restricted cash $ 6,012.3   $ 3,474.8
v3.21.2
Supplemental Disclosures of Cash Flow Information - Additional Information (Detail) - Qualified Contributory Savings and Thrift 401(k) Plan [Member] - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Jun. 30, 2021
Sep. 30, 2021
Sep. 30, 2020
Defined Benefit Plan Disclosure [Line Items]      
Matching contributions by employer, percentage   100.00%  
Percentage of eligible compensation for matching contributions by employer 5.00% 5.00%  
Matching contributions vesting schedule   5 years  
Contribution expense to plan   $ 51.8 $ 45.9
v3.21.2
Accumulated Other Comprehensive Loss - Schedule of Accumulated Other Comprehensive Loss Attributable to Controlling Interests (Detail)
$ in Millions
 9 Months Ended
Sep. 30, 2021
USD ($)
Accumulated Other Comprehensive Income Loss [Line Items]  
Balance as of December 31, 2020 $ (643.6)
Balance as of September 30, 2021 (623.2)
Pension Liability [Member]  
Accumulated Other Comprehensive Income Loss [Line Items]  
Balance as of December 31, 2020 (56.1)
Net change in period 1.7
Balance as of September 30, 2021 (54.4)
Foreign Currency Translation [Member]  
Accumulated Other Comprehensive Income Loss [Line Items]  
Balance as of December 31, 2020 (491.1)
Net change in period (9.7)
Balance as of September 30, 2021 (500.8)
Fair Value of Derivative Investments [Member]  
Accumulated Other Comprehensive Income Loss [Line Items]  
Balance as of December 31, 2020 (96.4)
Net change in period 28.4
Balance as of September 30, 2021 (68.0)
Accumulated Other Comprehensive Loss [Member]  
Accumulated Other Comprehensive Income Loss [Line Items]  
Balance as of December 31, 2020 (643.6)
Net change in period 20.4
Balance as of September 30, 2021 $ (623.2)
v3.21.2
Accumulated Other Comprehensive Loss - Additional Information (Detail) - USD ($)
 9 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Statement Of Income And Comprehensive Income [Abstract]    
Expense related to pension liability reclassified from accumulated other comprehensive earnings $ 4,300,000 $ 4,600,000
Loss related to fair value of derivative investments reclassified from accumulated other comprehensive earnings 4,700,000 3,900,000
Foreign currency translation reclassified from accumulated other comprehensive earnings $ 0 $ 0
v3.21.2
Segment Information - Additional Information (Detail)
 9 Months Ended
Sep. 30, 2021
Segment
Segment Reporting [Abstract]  
Number of reportable segments 3
v3.21.2
Segment Information - Schedule of Segment Reporting Information by Segment (Detail) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Sep. 30, 2021
Sep. 30, 2020
Dec. 31, 2020
Segment Reporting Information [Line Items]          
Total revenues $ 2,138.2 $ 1,849.1 $ 6,236.7 $ 5,300.0  
Earnings before income taxes 231.4 209.5 862.1 737.2  
Identifiable assets at September 30, 2021 and 2020 26,915.8 21,814.9 26,915.8 21,814.9 $ 22,331.4
Operating Segments [Member] | Brokerage [Member]          
Segment Reporting Information [Line Items]          
Total revenues 1,499.7 1,294.6 4,500.1 3,931.3  
Earnings before income taxes 334.5 276.4 1,114.5 935.0  
Identifiable assets at September 30, 2021 and 2020 21,184.7 18,641.2 21,184.7 18,641.2  
Operating Segments [Member] | Risk Management [Member]          
Segment Reporting Information [Line Items]          
Total revenues 280.6 244.3 815.0 717.0  
Earnings before income taxes 29.5 25.3 87.0 64.1  
Identifiable assets at September 30, 2021 and 2020 1,079.7 964.5 1,079.7 964.5  
Operating Segments [Member] | Corporate [Member]          
Segment Reporting Information [Line Items]          
Total revenues 357.9 310.2 921.6 651.7  
Earnings before income taxes (132.6) (92.2) (339.4) (261.9)  
Identifiable assets at September 30, 2021 and 2020 $ 4,651.4 $ 2,209.2 $ 4,651.4 $ 2,209.2  
v3.21.2
Segment Information - Summary of Revenues by Type and Segment (Detail) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Sep. 30, 2021
Sep. 30, 2020
Segment Reporting Information [Line Items]        
Revenues before reimbursements $ 2,105.6 $ 1,807.5 $ 6,135.0 $ 5,188.3
Reimbursements 32.6 41.6 101.7 111.7
Total revenues 2,138.2 1,849.1 6,236.7 5,300.0
Brokerage [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 1,499.7 1,294.6 4,500.1 3,931.3
Total revenues 1,499.7 1,294.6 4,500.1 3,931.3
Risk Management [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 248.0 202.7 713.3 605.3
Reimbursements 32.6 41.6 101.7 111.7
Total revenues 280.6 244.3 815.0 717.0
Corporate [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 357.9 310.2 921.6 651.7
Total revenues 357.9 310.2 921.6 651.7
Commissions [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 1,016.2 889.9 3,118.7 2,734.6
Commissions [Member] | Brokerage [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 1,016.2 889.9 3,118.7 2,734.6
Broker Fees [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 601.7 495.8 1,696.4 1,462.8
Broker Fees [Member] | Brokerage [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 353.8 293.2 983.4 858.1
Broker Fees [Member] | Risk Management [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 247.9 202.6 713.0 604.7
Supplemental Revenue Member [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 61.0 54.7 183.0 164.0
Supplemental Revenue Member [Member] | Brokerage [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 61.0 54.7 183.0 164.0
Contingent Revenue [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 43.7 34.5 150.3 117.0
Contingent Revenue [Member] | Brokerage [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 43.7 34.5 150.3 117.0
Investment Income [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 20.8 19.0 56.0 53.6
Investment Income [Member] | Brokerage [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 20.7 18.9 55.8 53.0
Investment Income [Member] | Risk Management [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 0.1 0.1 0.2 0.6
Net Gains on Divestitures [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 4.3 3.4 9.0 4.6
Net Gains on Divestitures [Member] | Brokerage [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 4.3 3.4 8.9 4.6
Net Gains on Divestitures [Member] | Risk Management [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements     0.1  
Clean Coal Activities [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 357.6 310.8 919.2 652.1
Clean Coal Activities [Member] | Corporate [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 357.6 310.8 919.2 652.1
Other Net Revenue (Losses) [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements 0.3 (0.6) 2.4 (0.4)
Other Net Revenue (Losses) [Member] | Corporate [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Revenues before reimbursements $ 0.3 $ (0.6) $ 2.4 $ (0.4)
v3.21.2
Segment Information - Summary of Geographical Location and Segment (Detail) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Sep. 30, 2021
Sep. 30, 2020
Segment Reporting Information [Line Items]        
Total revenues $ 2,138.2 $ 1,849.1 $ 6,236.7 $ 5,300.0
Unites States [Member]        
Segment Reporting Information [Line Items]        
Total revenues 1,592.1 1,380.7 4,513.8 3,867.2
United Kingdom [Member]        
Segment Reporting Information [Line Items]        
Total revenues 288.6 240.6 930.0 775.6
Australia [Member]        
Segment Reporting Information [Line Items]        
Total revenues 92.0 82.8 278.7 229.1
Canada [Member]        
Segment Reporting Information [Line Items]        
Total revenues 69.7 58.5 219.9 175.4
New Zealand [Member]        
Segment Reporting Information [Line Items]        
Total revenues 44.4 40.0 130.0 112.0
Other Foreign [Member]        
Segment Reporting Information [Line Items]        
Total revenues 51.4 46.5 164.3 140.7
Brokerage [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total revenues 1,499.7 1,294.6 4,500.1 3,931.3
Brokerage [Member] | Unites States [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total revenues 1,000.3 866.6 2,919.3 2,613.3
Brokerage [Member] | United Kingdom [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total revenues 276.5 230.8 895.0 746.2
Brokerage [Member] | Australia [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total revenues 62.4 56.6 187.1 156.6
Brokerage [Member] | Canada [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total revenues 68.1 57.1 215.5 171.5
Brokerage [Member] | New Zealand [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total revenues 41.0 37.0 118.9 103.0
Brokerage [Member] | Other Foreign [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total revenues 51.4 46.5 164.3 140.7
Risk Management [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total revenues 280.6 244.3 815.0 717.0
Risk Management [Member] | Unites States [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total revenues 233.9 203.9 672.9 602.2
Risk Management [Member] | United Kingdom [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total revenues 12.1 9.8 35.0 29.4
Risk Management [Member] | Australia [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total revenues 29.6 26.2 91.6 72.5
Risk Management [Member] | Canada [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total revenues 1.6 1.4 4.4 3.9
Risk Management [Member] | New Zealand [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total revenues 3.4 3.0 11.1 9.0
Corporate [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total revenues 357.9 310.2 921.6 651.7
Corporate [Member] | Unites States [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total revenues $ 357.9 $ 310.2 $ 921.6 $ 651.7