2002 Best Practices Study

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

CARRIER REPRESENTATION A. Number of Carriers Represented

Average

+25% Profit

+25% Growth

Personal Lines National

7.4 3.4

6.5 4.9

5.6 3.6

Regional

Commercial Lines National

19.6

12.5 10.1 34.0

9.6 7.6

Regional

8.7

Total Carriers

39.1

26.4

B. Commission Income as % of Net Revenue

Average

+25% Profit

+25% Growth

% of Net Rev from Top Carrier % of Net Rev from Top 3 Carriers

13.6% 29.6%

13.1% 32.1%

11.3% 28.1%

C. Service Center Use

Total Pers'l Lines Commissions placed in Carrier Service Center Total Comm'l Lines Commissions placed in Carrier Service Center

13.0%

26.6%

26.3%

2.4%

4.6%

1.2%

89