Brown & Brown's Legal Challenge Against Howden's Recruitment Practices

Brown & Brown Challenges Howden US Services Over Recruitment Practices

In an ongoing legal matter, Brown & Brown CEO J Powell Brown has addressed allegations against Howden US Services LLC. The accusations point to a strategic recruitment drive that potentially breaches legal standards. Highlighting these AI-driven prior authorization delays during an earnings call, Brown stressed the importance of resolution.

A Massachusetts court has issued a temporary restraining order supporting Brown & Brown's claims. This order restricts Howden from hiring Brown & Brown's workforce, as directed by Suffolk County Superior Court, marking a significant stance on regulatory compliance requirements.

Brown & Brown claims Howden's recruitment strategies aim to bolster its American operations. Since December 18, around 200 personnel have transitioned to Howden, raising concerns about the lack of formal interviews. This move signals broader industry implications for hiring practices and regulatory oversight.

This legal challenge is part of a trend where Howden faces grievances from major firms. Companies like Aon and Marsh USA allege Howden's irregular employee recruitment tactics to boost its U.S. market position. Notably, Marsh USA initiated legal proceedings in July 2025 regarding Howden's recruitment strategies.

Simultaneously, Brown & Brown is in a significant expansion phase, recently acquiring 5,000 employees from Accession Risk Management Group in a $9.825 billion transaction on August 1. This acquisition enhances Brown & Brown's wholesale, specialty, and program services, emphasizing the industry's dynamic risk management and underwriting practices.

Over the past year, Brown & Brown completed 43 acquisitions, contributing around $1.8 billion to its annual revenue. This rapid growth fuels a competitive environment for skilled professionals within the insurance industry, with ongoing payer and provider issues highlighting recruitment conflicts.

In the fourth quarter, Brown & Brown reported an increase in net income to $264 million, up from $210 million the previous year. Revenue surged to $1.61 billion, a 35.7% growth largely attributed to its aggressive acquisition strategy. CEO Powell Brown remarked on the firm's success despite challenges like softening property catastrophe rates and economic stability.