171 / 191
2010 Best
Practices Study
Agencies
with Revenues
Over $25,000,000
171
Analysis of Agencies with Revenues Over $25,000,000
Mgmt. Perspectives
Profile
Revenues
Expenses
Profitability
Employee Overview
Producer Info
Staff Service Info
Technology
Insurance Carriers
Appendix
Average
+25% Profit
+25% Growth
Agency Practices
% of Agencies with Minimum Threshold for Not
Paying New / Renewal Commissions
52.6%
20.0%
40.0%
$ Amount of Commercial P&C Threshold
$3,450
*
$4,500
$ Amount of Personal P&C Threshold
*
*
*
$ Amount of Group L&H Threshold
$4,100
*
*
% of Agencies That Give/Assign Book of
Business to New Producers
15.8%
0.0%
40.0%
% of Agencies Whose Validated Producers are
Periodically Required to Purge Smaller/Less
Profitable Accounts
42.1%
0.0%
40.0%
Restrictive Covenants
Commission Practices
*Insufficient Data
"We are optimistic about the long term future but things are pretty tough right now. Current
difficulties have motivated us to make some tough calls that we should have made years ago.
We will be better because of these tough times."