Nature of Operations

3 Months Ended

Mar. 31, 2021

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Nature of Operations

Nature of Operations

Marsh & McLennan Companies, Inc. (the "Company" or "Marsh McLennan"), a global professional services firm, is organized based on the different services that it offers. Under this structure, the Company’s two business segments are Risk and Insurance Services and Consulting.

The Risk and Insurance Services segment provides risk management solutions, services, advice and insurance broking, reinsurance broking and insurance program management services for businesses, public entities, insurance companies, associations, professional services organizations, and private clients. The Company conducts business in this segment through Marsh and Guy Carpenter. Marsh advises individual and commercial clients of all sizes on insurance broking and innovative risk management solutions. Guy Carpenter develops advanced risk, reinsurance and capital strategies that help clients grow profitably and pursue emerging opportunities.

The Company conducts business in its Consulting segment through Mercer and Oliver Wyman Group. Mercer provides consulting expertise, advice, services and solutions in the areas of health, wealth and career consulting services and products. Oliver Wyman Group provides specialized management and economic and brand consulting services.

Business Update Related To COVID-19

The COVID-19 pandemic has now surpassed one year in duration and it continues to impact virtually every geography in which the Company operates. The safety and well-being of our colleagues remains our first priority, while continuing to serve the needs of our clients. Approximately 70% of the Company’s offices are open, however, the vast majority of colleagues continue to work in a remote environment which is expected to continue through much of 2021. The Company continues to plan the multiple aspects of a return to the office model, considering health, colleague privacy and potential government restrictions. The Company expects to continue to service clients effectively in the current remote environment and as colleagues gradually return to the office.

Although the pandemic is ongoing, the global economy is showing signs of recovery as various countries begin to ease restrictions. The Company had strong revenue growth in the first quarter of 2021 and continues to benefit from reduced expense levels in areas such as travel and entertainment and outside services. However, uncertainty remains in the economic outlook and the ultimate extent of COVID-19 impact to the Company will depend on future developments that it is unable to predict, including new “waves” of infection, newly emerging variants of the virus, potential renewed restrictions by various governments or agencies, and the effectiveness and distribution rate of vaccines.