2009 Best Practices Study

2009 Best Practices Study

Profile

Revenues/ Expenses

Financial Stability

Employee Overview

Producer Info

Service Staff Info

Technology

Insurance Carriers

Appendix

REGIONAL ANALYSIS Agencies with Revenues UNDER $5,000,000

Geographic Region:

Northeast

Southeast

Midwest

Southwest

West

% of Agencies Located in Each Region

24.2%

28.6%

25.3%

12.1%

9.9%

Net Revenue Growth (Organic)

-2.2%

-1.4%

6.9%

5.5%

-5.4%

Pre-tax Profit

14.3%

16.7%

23.5%

27.5%

13.1%

Pro Forma Pre-tax Profit

22.6%

22.7%

22.5%

30.2%

25.2%

Profitability as % of Net Revenues

Operating Pre-tax Profit

2.0%

4.3%

5.2%

7.9%

6.9%

EBITDA

16.7%

19.0%

26.2%

30.1%

14.5%

Pro Forma EBITDA

25.0%

25.0%

25.4%

33.6%

26.6%

“Rule of 20” Score

10.3

12.4

17.3

27.4

7.9

Revenue per Employee

$127,323

$137,864

$150,339

$208,768

$148,458

Productivity

Compensation per Employee

$79,085

$84,660

$81,030

$108,780

$93,723

Spread per Employee

$48,238

$53,204

$69,309

$99,988

$54,735

Commercial P&C Producers

$110,166

$114,306

$93,325

$160,810

$87,244

Personal P&C Producers

$65,218

$47,979

$49,632

*

$39,667

Pay Levels for Producer

Life & Health Producers

$238,176

$107,247

$61,824

$254,950

$81,109

Multiline Producers

$128,398

$115,603

$115,630

$213,096

$77,374

Commercial P&C CSRs

$51,053

$44,329

$38,701

$41,768

$50,762

Personal P&C CSRs

$39,552

$35,754

$32,831

$32,250

$38,386

Pay Levels for CSRs

Life & Health CSRs

$34,807

$33,291

$30,930

*

$36,671

Multiline CSRs

$43,912

$17,179

$44,678

*

$38,500

PL - National

3.6

3.8

2.8

4.3

5.7

PL - Regional

6.2

3.7

4.7

5.2

3.4

Number of Carriers

CL - National

4.5

5.5

5.9

14.3

5.3

CL - Regional

5.8

5.7

6.0

11.8

5.7

EB - All

17.1

12.2

18.1

14.5

20.7

Total PL Comms Placed

15.5%

9.5%

68.5%

*

*

Service Center Use

Total CL Comms Placed

9.5%

2.8%

6.4%

9.5%

7.2%

% of Agencies Making an Acquisition in the last 12 Mths

4.5%

3.8%

13.0%

9.1%

0.0%

*Insufficient Data

123

2009 Best Practices Study | Appendix

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