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2007 Best Practices Study | Agencies with Revenues Between $1,250,000 and $2,500,000 | Revenues/Expenses
Agencies with Revenues Between $1,250,000 and $2,500,000
Appendix
Insurance
Carriers
Technology
Service
Staff Info
Producer
Info
Employee
Overview
Financial
Stability
Revenues/
Expenses
Executive
Perspectives
Profile
Revenues
(% by Source)
Average
+25% Profit
+25% Growth
Property & Casualty
Commercial Commissions & Fees
49.4%
42.1%
55.4%
Bonds
1.8%
3.9%
2.0%
Personal P&C
25.6%
29.6%
21.0%
Value Added Services
0.2%
0.0%
0.0%
Contingent/Bonus
11.2%
12.5%
11.7%
Total P&C
88.1%
88.0%
90.1%
Life & Health/Financial
Group Commissions & Fees
6.5%
5.0%
6.3%
Individual Commissions & Fees
2.9%
4.2%
1.3%
Value Added Services
0.3%
0.0%
0.0%
Bonus/Overrides
0.9%
1.5%
0.0%
Total L&H/Financial
10.6%
10.7%
7.6%
Investments
1.0%
1.3%
1.6%
Miscellaneous
0.3%
0.0%
0.7%
Gross Revenues
100.0%
100.0%
100.0%
Brokerage Commission Expense
1.3%
1.6%
0.0%
Net Revenues
98.7%
98.4%
100.0%
Future Revenue Sources
% of Agencies Considering Line of Business as Very Important:
Personal Lines
73.3%
Small Commercial Lines
80.0%
Individual Life & Health
33.3%
Group Life & Health
40.0%
Surety/Bonding
16.7%
“I remember thinking, about 5 years ago, ‘wow, this hard market business
is really getting old.’ Well, that was then and this is now, but we see now
that we’re not as good at selling as we thought we were then.”