2010 Best Practices Study
Analysis of Agencies with Revenues Between $1,250,000 and $2,500,000
Carriers
Mgmt. Perspectives
Profile
Average +25% Profit +25% Growth
Carrier Representation Personal Lines P&C National
Revenues
4.5 4.2 8.6
3.8 3.5 7.3
3.4 3.5 6.8
Expenses
Regional
Profitability
Total
Commercial Lines P&C National
Employee Overview
7.8 7.1
4.4 5.5 9.8
4.0 5.0 9.0
Producer Info
Regional
Total
14.8
Staff Service Info
Group L&H / Financial Total
Technology
7.1
7.5
5.8
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
14.0% 16.3% 69.8%
18.2% 36.4% 45.5%
9.1% 9.1%
81.8%
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
4.7% 7.0%
27.3% 18.2% 54.5%
18.2%
9.1%
88.4%
72.7%
Revenue from Top Carriers
Average
+25% Profit
+25% Growth
Commission Income Derived from Top Carriers % of Net Rev from Top P&C Carrier
26.1% 47.1%
26.5% 41.4%
38.5% 63.9%
% 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
4.9% 7.0%
4.1% 5.9%
3.4% 4.1%
Revenues from Top P&C Carrier–Breakdown By Line of Business
2010 Best Practices Study
Agencies with Revenues Between $1,250,000 and $2,500,000
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