57 / 168
2014 Best
Practices Study
Agencies
with Revenues
Between
$2,500,000 and
$5,000,000
57
Analysis of Agencies with Revenues Between $2,500,000 and $5,000,000
Key Benchmarks
Profile
Revenues
Expenses
Profitability
Employee Overview
Producer Info
Service Staff Info
Technology
Insurance Carriers
Appendix
Revenues
Revenue by Source
(% of Gross Revenues)
(% by Source)
Average
+25% Profit
+25% Growth
Property & Casualty
Commercial Commissions & Fees
53.3%
47.6%
54.7%
Bonds
1.9%
0.7%
1.2%
Personal Commissions
26.5%
35.4%
27.1%
Value Added Services
0.2%
0.1%
0.0%
Contingent/Bonus
8.5%
10.9%
8.9%
Total P&C
90.4%
94.7%
91.9%
Life & Health/Financial
Group Medical Commissions & Fees
5.7%
2.8%
3.5%
All Other Group Commissions & Fees
1.3%
0.6%
1.6%
Individual L&H Commissions & Fees
1.4%
0.5%
0.9%
Bonus/Overrides
0.2%
0.3%
0.0%
Total L&H/Financial
8.6%
4.3%
6.1%
Investments
0.7%
0.6%
1.6%
Miscellaneous
0.4%
0.4%
0.4%
Gross Revenues
100.0%
100.0%
100.0%
Brokerage Commission Expense
1.4%
2.4%
1.2%
Net Revenues
98.6%
97.6%
98.8%
% Total Revenue
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
0.0%
P&C
Contingent/
Bonus
P&C
VAS
Fees
P&C
Personal
Comm
& Fees
P&C
Bonds
Comm
& Fees
P&C
Commercial
Comm
& Fees
L&H
Group
Medical
Comm
& Fees
L&H
All Other
Group
Comm
& Fees
L&H
Individual
Comm
& Fees
L&H
Bonus/
Overrides
Investments Miscellaneous
Average
+25% Profit
+25% Growth