NAICS 52

Finance and Insurance Industry: 2026 Market Survival & Risk Analysis

Banking, credit, insurance, securities, investments

Finance and Insurance: 581,673 Establishments Nationwide

581,673
Total Establishments
6,290,309
Total Employment
$120,505
Average Annual Wage
51.9
Average Entry Risk Score

What Drives Finance and Insurance Risk

Finance and insurance carries the highest average entry risk (51.9) of any sector we track. At $120,505, average wages sit 69% above the all-industry mean of $71,298, but that payroll burden compounds fast for new entrants. Regulatory barriers, licensing requirements, and capital adequacy rules create steep fixed costs before a single customer is acquired. No state scores below 37 on entry risk. Hawaii and West Virginia rank lowest, largely because smaller markets keep saturation and wage pressure below the national norm.

Finance and Insurance vs. All-Industry Average

How this sector compares to the average across all ten tracked industries.

Avg Entry Risk
51.9 This sector
43.1 All sectors
Avg Annual Wage
$120,505 This sector
$73,293 All sectors
Total Employment
6.3M This sector
9.6M Avg per sector

State Leaderboards for Finance and Insurance

Lowest Entry Risk

Best overall market conditions

  1. Hawaii 37.0
  2. West Virginia 39.8
  3. Kentucky 40.0
  4. Rhode Island 41.9
  5. Maine 42.0

Highest Entry Risk

Most competitive markets

  1. Connecticut 73.7
  2. Colorado 67.3
  3. New York 65.4
  4. Oklahoma 64.9
  5. Wyoming 62.0

Best for Firm Retention

Highest 5-year firm survival rates

  1. Vermont 100%
  2. District of Columbia 98.04%
  3. South Dakota 96.08%
  4. West Virginia 94.12%
  5. North Dakota 92.16%

Highest Growth Momentum

Fastest new firm formation

  1. Nevada 100
  2. Florida 95.4
  3. Delaware 81.84
  4. Arizona 79.57
  5. Utah 76.3

Top Metro Markets for Finance and Insurance

Best and worst metro areas out of 331 with finance and insurance data.

Most Favorable Metros

Lowest Metro Market Score

  1. Jackson, TN 16.9
  2. Monroe, MI 17.3
  3. Joplin, MO 17.5
  4. Lake Havasu City-Kingman, AZ 18.6
  5. Bakersfield-Delano, CA 19.0

Most Challenging Metros

Highest Metro Market Score

  1. Bridgeport-Stamford-Danbury, CT 84.0
  2. Springfield, MA 82.0
  3. Minneapolis-St. Paul-Bloomington, MN 80.5
  4. Boston-Cambridge-Newton, MA 79.1
  5. Columbus, OH 78.4

Entry Risk by State

Geographic distribution of market entry risk for finance and insurance. Click any state for detailed analysis.

Entry Risk by State Alaska — 49.7 · #21 Alabama — 48.4 · #18 Arkansas — 44.7 · #7 Arizona — 52.6 · #29 California — 46.9 · #12 Colorado — 67.3 · #50 Connecticut — 73.7 · #51 District of Columbia — 47.9 · #13 Delaware — 57.7 · #44 Florida — 61.9 · #46 Georgia — 56.4 · #40 Hawaii — 37.0 · #1 Iowa — 54.3 · #35 Idaho — 56.2 · #39 Illinois — 46.2 · #10 Indiana — 45.4 · #9 Kansas — 57.0 · #42 Kentucky — 40.0 · #3 Louisiana — 42.0 · #6 Massachusetts — 48.2 · #15 Maryland — 52.6 · #30 Maine — 42.0 · #5 Michigan — 49.8 · #23 Minnesota — 46.6 · #11 Missouri — 57.7 · #43 Mississippi — 54.5 · #36 Montana — 59.0 · #45 North Carolina — 48.4 · #17 North Dakota — 52.1 · #28 Nebraska — 49.4 · #20 New Hampshire — 49.8 · #22 New Jersey — 53.2 · #32 New Mexico — 53.1 · #31 Nevada — 55.6 · #38 New York — 65.4 · #49 Ohio — 48.2 · #14 Oklahoma — 64.9 · #48 Oregon — 56.7 · #41 Pennsylvania — 48.8 · #19 Rhode Island — 41.9 · #4 South Carolina — 48.4 · #16 South Dakota — 50.1 · #24 Tennessee — 53.4 · #33 Texas — 50.4 · #25 Utah — 51.9 · #27 Virginia — 50.8 · #26 Vermont — 53.6 · #34 Washington — 55.5 · #37 Wisconsin — 45.3 · #8 West Virginia — 39.8 · #2 Wyoming — 62.0 · #47
Low Moderate Elevated High

Tap a state to view details

All 51 States Ranked for Finance and Insurance Entry Risk

Complete ranking of all 51 states by Entry Risk Score for finance and insurance. Lower score indicates better market conditions for new entrants.

Finance and Insurance Entry Risk by State

Rank State Risk Score Classification
#1 Hawaii 37.0 moderate
#2 West Virginia 39.8 moderate
#3 Kentucky 40.0 moderate
#4 Rhode Island 41.9 moderate
#5 Maine 42.0 elevated
#6 Louisiana 42.0 elevated
#7 Arkansas 44.7 elevated
#8 Wisconsin 45.3 elevated
#9 Indiana 45.4 elevated
#10 Illinois 46.2 elevated
#11 Minnesota 46.6 elevated
#12 California 46.9 elevated
#13 District of Columbia 47.9 elevated
#14 Ohio 48.2 elevated
#15 Massachusetts 48.2 elevated
#16 South Carolina 48.4 elevated
#17 North Carolina 48.4 elevated
#18 Alabama 48.4 elevated
#19 Pennsylvania 48.8 elevated
#20 Nebraska 49.4 elevated
#21 Alaska 49.7 elevated
#22 New Hampshire 49.8 elevated
#23 Michigan 49.8 elevated
#24 South Dakota 50.1 elevated
#25 Texas 50.4 elevated
#26 Virginia 50.8 elevated
#27 Utah 51.9 elevated
#28 North Dakota 52.1 elevated
#29 Arizona 52.6 elevated
#30 Maryland 52.6 elevated
#31 New Mexico 53.1 elevated
#32 New Jersey 53.2 elevated
#33 Tennessee 53.4 elevated
#34 Vermont 53.6 elevated
#35 Iowa 54.3 elevated
#36 Mississippi 54.5 elevated
#37 Washington 55.5 high
#38 Nevada 55.6 high
#39 Idaho 56.2 high
#40 Georgia 56.4 high
#41 Oregon 56.7 high
#42 Kansas 57.0 high
#43 Missouri 57.7 high
#44 Delaware 57.7 high
#45 Montana 59.0 high
#46 Florida 61.9 high
#47 Wyoming 62.0 high
#48 Oklahoma 64.9 high
#49 New York 65.4 high
#50 Colorado 67.3 high
#51 Connecticut 73.7 high

Finance and Insurance: Frequently Asked Questions

2026 sector data answers to common entry-decision questions.

Which state has the lowest finance and insurance entry risk in 2026?

Hawaii ranks #1 with an entry risk score of 37.0, 14.9 points below the 51.9 national average for the finance and insurance sector.

Which state is the most challenging market for new finance and insurance businesses?

Connecticut sits at the bottom of the 51-state ranking with an entry risk score of 73.7. New finance and insurance firms here face structural headwinds across retention, growth momentum, and wage pressure.

How many finance and insurance establishments operate in the United States?

581,673 finance and insurance establishments are tracked across the 51 U.S. state markets, employing 6,290,309 workers at an average annual wage of $120,505.

Which state has the highest 5-year firm retention for finance and insurance?

Vermont leads on firm retention with a 100% 5-year survival percentile. New finance and insurance establishments in this state clear the 5-year mark at higher rates than 100% of all states.

What is the average entry risk score for finance and insurance across all U.S. states?

The 51-state average entry risk for finance and insurance is 51.9. Scores range from 37.0 (Hawaii) to 73.7 (Connecticut), a spread of 36.7 points. Lower scores indicate more favorable conditions for new businesses.

Not in Finance and Insurance?

Compare entry conditions across other sectors.

NAICS 23 Construction NAICS 62 Healthcare and Social Assistance NAICS 44-45 Retail Trade NAICS 72 Accommodation and Food Services NAICS 54 Professional, Scientific, and Technical Services NAICS 53 Real Estate and Rental and Leasing NAICS 56 Administrative and Support Services NAICS 51 Information NAICS 81 Other Services

How We Calculate Entry Risk

Entry Risk Score combines five normalized metrics: firm retention rates, growth momentum, market volatility, establishment density, and wage pressure. All indices are scaled 0-100 for consistency.

Read full methodology →