Oct 17 (Reuters) - Insurance brokerage Marsh McLennan ( MMC )

reported a better-than-expected profit for the third

quarter on Thursday, bolstered by its risk and insurance

services business.

WHY IT'S IMPORTANT

Rising wages and growing expectations of a soft landing for

the U.S. economy have prompted individuals and companies across

various sectors to spend more on insurance policies despite

higher costs.

That has boosted the commissions earned by brokerages, as

their earnings are tied to the premiums charged by insurers.

BY THE NUMBERS

On an adjusted basis, the New York-based firm earned $1.63

per share for the three months ended Sept. 30, beating analysts'

estimates of $1.61 per share, according to data compiled by

LSEG.

It reported total revenue of $5.7 billion in the quarter, up

6% from last year.

Marsh McLennan's ( MMC ) risk and insurance services business posted

revenue growth of 8%, while its consulting arm's revenue climbed

3%.

Its fiduciary interest income - earnings on funds held on

behalf of clients - jumped 5.34% to $138 million.

CONTEXT

While its revenue streams are diversified across consulting,

talent management and investment management services, Marsh

McLennan's ( MMC ) risk and insurance services business accounts for the

majority of its revenue.

In September, the company agreed to buy McGriff Insurance

Services for $7.75 billion.

The deal is expected to enhance its capabilities across

commercial property and casualty, employee benefits, management

liability and personal insurance lines.

The company operates in more than 130 countries, through its

four subsidiaries - Marsh, Mercer, Oliver Wyman and Guy

Carpenter.