150 / 185
150
2007 Best Practices Study | Agencies with Revenues Over $25,000,000 | Profile
Appendix
Insurance
Carriers
Technology
Service
Staff Info
Producer
Info
Employee
Overview
Financial
Stability
Revenues/
Expenses
Executive
Perspectives
Profile
Agencies with Revenues Over $25,000,000
G. Parent Corporation
Average
“Other” includes AAA, joint venture, and
another insurance agency.
Agency is Owned by Another Corporation
20.0%
Description of Parent Corporation
Financial Institution
80.0%
National Broker
0.0%
Other
20.0%
H. Plans for Future Ownership of Agency
Average
“A key component of our success has
been our commitment to private
ownership. Our perpetuation model has
given us the ability to attract and retain
the best talent in our marketplace.”
Sell to Employees/Family
61.9%
Sell to Third Party in 1 to 5 years
0.0%
Sell to Third Party in 6 to 10 years
0.0%
Sell to Third Party in 11+ years
0.0%
Merge with Privately-held Agency
4.8%
Uncertain at this Point
33.3%
A counter-intuitive statistic is how many of the largest most successful
firms in the U.S. are actually headquartered in smaller cities. 68% of
the largest Best Practices firms are from cities with a population of less
than 1 million. A review of the firms suggests that these “super-
regional” agencies often start out in a smaller city and then leverage
their very strong competitive position in that city to expand into larger
cities throughout their region.