2015 Best Practices Study

Analysis of Agencies with Revenues Between $10,000,000 and $25,000,000

Key Benchmarks Profile

Revenue from Top Insurance Carriers

Revenues Expenses Profitability Employee Overview Producer Info Service Staff Info Technology Insurance Carriers Appendix

Average

Top 25% Profit Top 25% Growth

P&C Commission Income from Top Carriers Top P&C Carrier

$1,754,392

$1,641,486

$2,765,730

as % of Agency Net Revenue

11.8%

12.5%

19.8%

Top P&C Carrier —Breakdown By Line of Business

Average

Top 25% Profit

Top 25% Growth

Personal 32.4%

Personal 50.1%

Personal 30.1%

Mid/Large Commercial 55.1%

Mid/Large Commercial 38.4%

Mid/Large Commercial 46.6%

Small Commercial 15.6%

Small Commercial 14.7%

Small Commercial 11.5%

Top 3 P&C Carriers

$3,340,639

$3,144,742

$4,400,254

as % of Agency Net Revenue

22.2%

23.2%

31.8%

Top 3 P&C Carriers —Breakdown By Line of Business

Average

Top 25% Profit

Top 25% Growth

Personal 26.6%

Personal 25.9%

Mid/Large Commercial 51.7%

Mid/Large Commercial 39.6%

Mid/Large Commercial 51.8%

Personal 44.4%

Small Commercial 22.4%

Small Commercial 16.0%

Small Commercial 18.9%

2015 Best Practices Study

Average

Top 25% Profit Top 25% Growth

L&H/F Commission Income from Top Carriers as % of Net Rev from Top L&H/F Carrier as % of Net Rev from Top 3 L&H/F Carriers

6.6%

8.2%

4.5% 8.1%

Agencies with Revenues Between $10,000,000 and $25,000,000

11.2%

13.8%

130

Note: See page 163 for an explanation of column headings