2007 Best Practices Study

Agencies with Revenues Between $1,250,000 and $2,500,000

Executive Perspectives

Profile

Revenues/ Expenses

Financial Stability

Employee Overview

Producer Info

Service Staff Info

Technology

Insurance Carriers

Appendix

Producer Information

New Producer Hiring

Average

+25% Profit

+25% Growth

% of Agencies that Hired New Producers Last Year

26.7%

* * *

* * *

# of New Producers Hired Last Year

1.4

Average Annualized Wages per Producer Hired

$45,830

*Insufficient Data

Where New Producers Were Found

“Successful” New Producers 69.8%

Outside of Industry 36.7%

Directly From College or Graduate

Another Insurance

Broker 30.0%

School 23.3%

of producers hired over the last 5 years have met their production goals

An Insurance

Carrier 10.0%

“Outside of Industry” includes other sales (technology, golf, pharmaceuticals, food, uniforms), IT consulting, hospitality, fund-raising, banking, manufacturing, telecommunications, environmental, non-profit, and trucking

“Recognizing the importance of the ‘people’ thing, we’ve given our President marching orders – his job, first and foremost, is to network and recruit. We think we can do just fine if we focus on filling this building with the right people.”

Future Hiring Plans

Average

+25% Profit

+25% Growth

% of Agencies That Plan to Hire a New Producer During Current Fiscal Year

56.7%

50.0%

25.0%

Number of Producers to be Hired

1.1

1.0

*

*Insufficient Data

49 2007 Best Practices Study | Agencies with Revenues Between $1,250,000 and $2,500,000 | Producer Info