2010 Best Practices Study

Analysis of Agencies with Revenues Over $25,000,000

Carriers

Mgmt. Perspectives

Profile

Average +25% Profit +25% Growth

Carrier Representation Personal Lines P&C National

Revenues

11.1 13.2 24.3 46.0 48.3 94.3

8.8

9.4

Expenses

Regional

21.0 29.8

10.2 19.6

Profitability

Total

Commercial Lines P&C National

Employee Overview

47.2 94.0

27.0 44.4 71.4

Producer Info

Regional

Total

141.2

Staff Service Info

Group L&H / Financial Total

Technology

85.6

64.6

90.6

Insurance Carriers

12 Month Plans for Carrier Representation P&C Carriers

Appendix

Average

+25% Profit

+25% Growth

% of Agencies That Will: Increase the Number of Carriers Represented Decrease the Number of Carriers Represented Keep the Same Number of Carriers Represented

5.3% 5.3%

0.0% 0.0%

0.0% 0.0%

89.5%

100.0%

100.0%

L&H Carriers

Average

+25% Profit

+25% Growth

% of Agencies That Will: Increase the Number of Carriers Represented Decrease the Number of Carriers Represented Keep the Same Number of Carriers Represented

5.3% 5.3%

0.0% 0.0%

0.0% 0.0%

89.5%

100.0%

100.0%

Revenue from Top Carriers

Average

+25% Profit

+25% Growth

Commission Income Derived from Top Carriers % of Net Rev from Top P&C Carrier

7.4%

8.3%

5.6%

% of Net Rev from Top 3 P&C Carriers % of Net Rev from Top L&H/F Carrier % of Net Rev from Top 3 L&H/F Carrier

22.1%

38.0%

32.0%

6.4%

4.8% 9.0%

6.0%

11.8%

12.8%

Revenues from Top P&C Carrier–Breakdown By Line of Business

2010 Best Practices Study

Agencies with Revenues Over $25,000,000

178

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