Segment Information

3 Months Ended

Mar. 31, 2017

Segment Reporting [Abstract]

Segment Information

Segment Information

The Company is organized based on the types of services provided. Under this structure, the Company’s segments are:

▪ Risk and Insurance Services, comprising insurance services (Marsh) and reinsurance services (Guy Carpenter); and

▪ Consulting, comprising Mercer and Oliver Wyman Group.

The accounting policies of the segments are the same as those used for the consolidated financial statements described in Note 1 to the Company’s 2016 Form 10-K. Segment performance is evaluated based on segment operating income, which includes directly related expenses, and charges or credits related to integration and restructuring but not the Company’s corporate-level expenses. Revenues are attributed to geographic areas on the basis of where the services are performed.

Selected information about the Company’s operating segments for the three month period ended March 31, 2017 and 2016 are as follows:

	Three Months Ended March 31,
(In millions)	Revenue				Operating Income (Loss)
2017–
Risk and Insurance Services	$	1,989		(a)	$	613
Consulting	1,526			(b)	241
Total Operating Segments	3,515				854
Corporate / Eliminations	(12		)		(45		)
Total Consolidated	$	3,503			$	809
2016–
Risk and Insurance Services	$	1,868		(a)	$	535
Consulting	1,478			(b)	245
Total Operating Segments	3,346				780
Corporate / Eliminations	(10		)		(47		)
Total Consolidated	$	3,336			$	733

^(a)  Includes inter-segment revenue of $1 million in 2016, interest income on fiduciary funds of $8 million and $6 million in 2017 and 2016, respectively, and equity method income of $2 million in 2017 and $1 million in 2016, respectively.

^(b)  Includes inter-segment revenue of $12 million and $9 million in 2017 and 2016, respectively, interest income on fiduciary funds of $1 million in both 2017 and 2016, and equity method income of $4 million in both 2017 and 2016.

Details of operating segment revenue for the three month period ended March 31, 2017 and 2016 are as follows:

	Three Months Ended March 31,
(In millions)	2017			2016
Risk and Insurance Services
Marsh	$	1,602		$	1,493
Guy Carpenter	387			375
Total Risk and Insurance Services	1,989			1,868
Consulting
Mercer	1,077			1,039
Oliver Wyman Group	449			439
Total Consulting	1,526			1,478
Total Operating Segments	3,515			3,346
Corporate / Eliminations	(12		)	(10		)
Total	$	3,503		$	3,336