2015 Best Practices Study

Analysis of Agencies with Revenues Between $5,000,000 and $10,000,000

Revenue by Account Size (as measured by comm. & fees – not premium)

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

Average

Top 25% Profit

Top 25% Growth

COMMERCIAL P&C Greater than $25,000 % of Book

35.5%

35.4%

40.0%

# of Accounts Total Revenue

24.6

19.8

28.1

$1,458,326

$1,270,820

$1,877,536

Revenue per Account

$59,213

$64,345

$66,757

Between $10,000 and $25,000 % of Book

17.8%

14.5%

17.7%

# of Accounts Total Revenue

47.1

34.6

52.5

$729,545 $15,503

$520,158 $15,023

$830,868 $15,826

Revenue per Account

Between $5,000 and $10,000 % of Book

12.6%

12.2%

13.4%

# of Accounts Total Revenue

72.9

67.3

82.9

$518,893

$438,421

$627,738

Revenue per Account

$7,122

$6,519

$7,575

Less than $5,000 % of Book

34.1% 2,353.4

38.0% 2,648.5

28.9% 1,840.1

# of Accounts Total Revenue

$1,399,880

$1,363,521

$1,355,465

Revenue per Account

$595

$515

$737

(as measured by number of lives)

Average

Top 25% Profit

Top 25% Growth

GROUP L&H/FINANCIAL Over 100 Lives % of Book

39.1%

43.1%

41.9%

# of Accounts Total Revenue

10.6

13.2

14.2

$502,903 $47,484

$732,226 $55,472

$591,188 $41,633

Revenue per Account

50 - 100 Lives

% of Book

15.1%

14.0%

14.1%

# of Accounts Total Revenue

11.5

12.0

13.8

$186,035 $16,146

$197,539 $16,462

$198,764 $14,403

2015 Best Practices Study

Revenue per Account

25 - 50 Lives

% of Book

14.7%

12.1%

15.2%

Agencies with Revenues Between $5,000,000 and $10,000,000

# of Accounts Total Revenue

19.9

21.5

24.8

$181,288

$170,744

$214,539

Revenue per Account

$9,104

$7,942

$8,651

Under 25 Lives

% of Book

31.0% 213.0

30.9% 166.6

28.8% 383.2

# of Accounts Total Revenue

86

$337,174

$374,443

$406,870

Revenue per Account

$1,583

$2,248

$1,062

Note: See page 163 for an explanation of column headings