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Key Benchmarks
Profile
Revenues
Expenses
Profitability
Employee Overview
Producer Info
Staff Service Info
Technology
Insurance Carriers
Appendix
2
Analysis of Agencies with Revenues Under $1,250,000
2011 Best
Practices Study
Agencies with
Revenues
Under
$1,250,000
Average
+25% Profit
+25% Growth
Growth
Organic Growth By Line of Business**
Commercial P&C
-6.9%
-8.4%
7.7%
Personal P&C
5.5%
7.9%
7.7%
Group Medical
-1.1%
0.7%
5.5%
All Other Group
-0.4%
*
*
Total Organic Growth
-1.9%
0.5%
9.1%
Profit
Pro Forma Pretax Profit
26.0%
44.6%
27.6%
Pro Forma EBITDA
28.5%
45.2%
28.2%
Rule of 20 Score
12.9
24.3
26.3
Financial
Average
Top 25%
Current Ratio
1.18:1
1.98:1
Receivable/Payable Ratio
65.1%
0.5%
Accounts Receivables > 60 Days
46.2%
9.7%
Accounts Receivables > 90 Days
17.2%
2.0%
Productivity
Average
+25% Profit
+25% Growth
Revenue per Employee
$116,963
$146,713
$118,983
Compensation per Employee
$64,086
$62,710
$54,248
Spread per Employee
$52,877
$84,003
$64,735
Annual New Commission Generated per Validated Producer
Average
Top 25%
Commercial P&C
$41,133
$88,692
Personal P&C
$22,083
$38,292
Life & Health/Financial
$27,167
$50,375
Commissions Serviced per Service & Sales Support Staff
Average
Top 25%
Commercial P&C
$188,682
$355,518
Personal P&C
$158,720
$323,938
Life & Health / Financial
$183,316
$251,286
Key Benchmarks at a Glance
* Insufficient Data
**Excludes any acquired revenue