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Key Benchmarks
Profile
Revenues
Expenses
Profitability
Employee Overview
Producer Info
Staff Service Info
Technology
Insurance Carriers
Appendix
2011 Best Practices Study
2011 Best
Practices Study
146
Population Density
Agencies with Revenues UNDER $5,000,000
Population Where Home Office is Located:
Less than
50,000
50,000 to
250,000
250,000 to
1,000,000
Over
1,000,000
% of Agencies Located in Each Region
20.3% 16.2%
5.8% 10.1%
Net Revenue Growth (Organic)
-1.3%
1.4%
-3.1%
0.2%
Profitability as %
of Net Revenues
Pre-tax Profit
19.5% 18.2% 21.2% 16.0%
Pro Forma Pre-tax Profit
22.7% 20.7% 26.2% 26.9%
Operating Pre-tax Profit
8.8%
9.2%
7.8%
7.4%
EBITDA
22.7% 20.8% 24.8% 17.9%
Pro Forma EBITDA
26.0% 23.3% 29.8% 28.8%
Value Creation “Rule of 20” Score
12.9
13.1
11.8
14.6
Productivity
Revenue per Employee
$127,291
$132,926
$138,733
$154,297
Compensation per Employee
$71,617
$79,162
$77,832
$99,161
Spread per Employee
$55,674
$53,763
$60,902
$55,136
Pay Levels for
Producers
Commercial P&C
$121,226
$112,310
$153,025
$140,908
Personal P&C
$44,114
$71,361
$75,863
$69,583
Life & Health / Financial
$77,913
$148,448
$111,495
$126,897
Multiline
$88,338
$126,134
$104,184
$132,317
Pay Levels for
Service / Sales
Support Staff
Commercial P&C
$36,526
$43,031
$40,221
$47,630
Personal P&C
$30,860
$37,344
$37,037
$38,649
Life & Health / Financial
$37,675
$36,182
$34,121
$35,792
Multiline
$28,893
$44,092
*
*
Pay Levels for
Account Execs
Commercial P&C
$48,890
$61,709
$55,654
$72,312
Personal Lines
$36,952
$45,043
*
$47,786
Life & Health / Financial
$47,842
$47,582
*
$50,408
Number of
Carriers
PL - National
4.6
5.0
4.6
5.8
PL - Regional
4.5
5.2
2.9
3.8
CL - National
4.9
6.9
8.3
8.1
CL - Regional
5.6
8.3
7.5
5.5
EB - All
7.3
7.5
5.1
12.3
Service Center
Use
Total PL Comms Placed
*
56.3% 46.2% 49.1%
Total CL Comms Placed
5.2% 14.8% 24.7% 13.3%
% of Agencies Making an Acquisition in the last 12
Months
4.8%
8.8%
0.0%
9.5%
*Insufficient Data