2015 Best Practices Study

Analysis of Agencies with Revenues Between $2,500,000 and $5,000,000

Key Benchmarks Profile

Carriers

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

Average

Top 25% Profit

Top 25% Growth

Carrier Representation Personal Lines P&C National

6.9 8.3

6.1 6.2

10.1

Regional

4.6

Total

15.2

12.3

14.7

Commercial Lines P&C National

12.1 12.4 24.5

6.8 7.7

21.6 10.2 31.8

Regional

Total

14.5

Group L&H / Financial

Total Life, Health, Disability, LTC, Retirement Products, and Other

15.3

17.3

13.2

Carrier Appointments

Average

Top 25% Profit Top 25% Growth

% of Total Commission & Fee Revenue Derived from Direct Versus Indirect Appointments INDIRECT Carrier Appointments 14.2% 8.9%

16.9% 83.1%

DIRECT Carrier Appointments

85.8%

91.1%

Use of Carrier Service Centers

Average

Top 25% Profit Top 25% Growth

Service Center Use % of Personal Lines Commission placed in Carrier Service Center % of Commercial Lines Commission placed in Carrier Service Center

31.0%

*

*

15.3%

*

21.2%

2015 Best Practices Study

*Insufficient Data

Agencies with Revenues Between $2,500,000 and $5,000,000

77

Note: See page 163 for an explanation of column headings