2008 Best Practices Study

Agencies with Revenues Over $25,000,000

Profile

Revenues/ Expenses

Financial Stability

Employee Overview

Producer Info

Service Staff Info

Technology

Insurance Carriers

Appendix

Financial Stability

Top 25%

Average

Balance Sheet Current Ratio

1.26:1

1.70:1 27.4% 31.7%

Tangible Net Worth (% of Net Revenue)

3.4%

Receivables/Payable Ratio

60.9%

Aged Receivables

% Receivables Aged Past 60 Days % Receivables Aged Past 90 Days

8.0% 3.8%

2.6% 0.7%

Accounts Receivable

Average

+25% Profit

+25% Growth

Agency Billed vs. Direct Billed by Carrier % of P&C Revenues that are Agency Billed % of P&C Revenues that are Direct Billed

59.8% 36.2%

51.7% 34.0%

59.4% 26.3%

111 2008 Best Practices Study | Agencies with Revenues Over $25,000,000 | Financial Stability