Towers Watson
| Company type | Public |
|---|---|
| Industry | Professional services, Consulting |
| Founded | January 4, 2010 |
| Fate | Merged with Willis Group to form Willis Towers Watson in 2016 |
Area served | Worldwide (37 nations) |
| Products | Risk management, human resource consulting, actuarial solutions, investment management |
Towers Watson & Co. was an international professional services organization that provided expertise in risk management, human resource consulting, actuarial solutions, and investment management. With operations spanning 37 nations, its clientele encompassed 92% of the companies listed in the Fortune Global 500 and 84% within the Fortune 1000.
In 2016, Towers Watson combined forces with Willis Group through a merger of equals, resulting in the creation of Willis Towers Watson.
History
The inception of Towers Watson occurred on January 4, 2010, following a $4 billion merger of equals between Towers Perrin and Watson Wyatt Worldwide, establishing the largest global consulting firm focused on employee benefits by revenue.
Watson Wyatt Worldwide was formed from the 1995 partnership and subsequent 2005 merger between R. Watson & Sons (established in 1878) and The Wyatt Company (founded in 1946). Meanwhile, Towers Perrin’s origins date back to Towers, Perrin, Forster & Crosby, founded in 1934 and rebranded in 1987.
In February 2011, Towers Watson expanded by acquiring EMB Consultancy, a firm specializing in property and casualty consulting as well as software solutions for pricing, reserving, capital management, and risk modeling.
The acquisition of Extend Health occurred in May 2012 for $435 million; Extend Health operated the largest private Medicare insurance marketplace. Subsequently, IBM secured a contract to utilize Extend Health’s platform for retirees in the United States.
November 2013 saw Towers Watson divest its reinsurance brokerage segment to Jardine Lloyd Thompson for $250 million while simultaneously acquiring Liazon for $215 million, which managed the Bright Choices private health insurance marketplace.
In May 2015, the company further broadened its portfolio by purchasing Acclaris for $140 million, enhancing its offerings related to software and services for consumer-driven health care and reimbursement accounts such as health savings accounts.
The human resources service delivery division was sold to KPMG in July 2015.
September 2015 marked the acquisition of Brovada Technologies for $15 million.
Through these targeted acquisitions and disposals, the company solidified its standing as a premier provider in employee benefits consulting before merging with Willis Group in 2016.