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2007 Best Practices Study | Agencies with Revenues Between $5,000,000 and $10,000,000 | Insurance Carriers
Appendix
Insurance
Carriers
Technology
Service
Staff Info
Producer
Info
Employee
Overview
Financial
Stability
Revenues/
Expenses
Executive
Perspectives
Profile
Agencies with Revenues Between $5,000,000 and $10,000,000
Carriers
Average +25% Profit +25% Growth
Carrier Representation
Personal Lines P&C
National
5.5
4.0
4.3
Regional
6.4
7.8
5.1
Total
11.9
11.8
9.4
Commercial Lines P&C
National
9.9
3.8
5.8
Regional
15.7
14.0
14.6
Total
25.7
17.8
20.4
Employee Benefits
Life
8.7
6.5
8.4
Health
10.7
6.8
7.1
LTD
4.7
2.8
2.8
Dental
5.2
2.0
3.8
Retirement Products
1.8
2.0
1.5
Total
31.1
20.1
23.6
“We are not getting rid
of small accounts, but
we are being smarter
in the way we handle
them. We put some in
a service center.
Others we handle, but
do so with two carriers
that direct bill and
offer quality BOP
products.”
Revenues from Top P&C Carrier - Breakdown by Line of Business
Average
+25% Profit
+25% Growth
Small
Commercial
21.4%
Small
Commercial
15.9%
Small
Commercial
18.0%
Mid/Large
Commercial
33.8%
Personal
29.2%
Mid/Large
Commercial
40.3%
Personal
50.3%
Mid/Large
Commercial
39.2%
Personal
32.7%
Average
+25% Profit
+25% Growth
Commission Income Derived from Top Carriers
% of Net Revenue from Top P&C Carrier
14.3%
17.9%
12.9%
% of Net Revenue from Top 3 P&C Carriers
28.3%
35.9%
26.4%
% of Net Revenue from Top L&H/F Carrier
5.3%
3.9%
4.4%
% of Net Revenue from Top 3 L&H/F Carriers
8.1%
6.5%
7.6%