2010 Best Practices Study

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

Mgmt. Perspectives

Validated Producer Productivity

Profile

Revenues

Average

Top 25%

Commercial P&C Producers Average Validated Producers # Validated

Expenses

Profitability

4.2

High Low

11.0

Employee Overview

1.0

Producer Info

Average New Commissions Produced Annually

$60,631 $372,433 $123,241

$118,595 $648,239

Average Book Serviced (Commissions)

Staff Service Info

Average Pay ($)

Technology

Average Pay (% of Book Serviced)

33.1%

Group Life & Health Producers Average Validated Producers # Validated

Insurance Carriers

Appendix

1.6 4.0 1.0

High Low

Average New Commissions Produced Annually

$49,502 $299,129 $109,652

$99,462 $525,545

Average Book Serviced (Commissions)

Average Pay ($)

Average Pay (% of Book Serviced)

36.7%

Personal P&C Producers Average Validated Producers # Validated

2.8 9.0 1.0

High Low

Average New Commissions Produced Annually

$47,205 $241,969 $66,559

$89,213 $493,288

Average Book Serviced (Commissions)

Average Pay ($)

Average Pay (% of Book Serviced)

27.5%

Multi-Line Producers Average Validated Producers # Validated

2.3 7.0 1.0

High Low

2010 Best Practices Study

Average New Commissions Produced Annually

$76,611 $450,559 $135,936

$138,885 $646,656

Average Book Serviced (Commissions)

Average Pay ($)

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

Average Pay (% of Book Serviced)

30.2%

*Insufficient Data

Average

+25% Profit

+25% Growth

% of Agencies That Reimburse All/Part T&E Expense

78.4%

80.0%

90.0%

80

% of Earned Premium charged back to Producers for bad debt write-offs: 62.8%