127 / 204
2013 Best
Practices Study
Agencies
with Revenues
Between
$5,000,000 and
$10,000,000
127
Analysis of Agencies with Revenues Between $5,000,000 and $10,000,000
Key Benchmarks
Mgmt. Perspectives
Profile
Revenues
Expenses
Profitability
Employee Overview
Producer Info
Service Staff Info
Technology
Insurance Carriers
Appendix
Average
+25% Profit
+25% Growth
Service Center Use
Total Personal Lines Commission placed in
Carrier Service Center
33.6%
33.4%
42.1%
Total Commercial Lines Commission placed in
Carrier Service Center
6.1%
4.4%
3.9%
Use of Carrier Service Centers
Average +25% Profit +25% Growth
Carrier Representation
Personal Lines P&C
National
11.3
9.5
9.4
Regional
7.2
7.9
5.4
Total
18.5
17.4
14.8
Commercial Lines P&C
National
20.0
12.2
15.2
Regional
12.9
13.5
10.1
Total
32.9
25.7
25.3
Group L&H / Financial
Total Life, Health, Disability, LTC,
Retirement Products, and Other
27.5
19.6
31.3
Carriers
Average
+25% Profit
+25% Growth
Agency’s Total % of Commission & Fee Revenue Derived from Direct Versus Indirect Appointments
INDIRECT Carrier Appointments
17.3%
12.7%
19.2%
DIRECT Carrier Appointments
82.7%
87.3%
80.8%
Carrier Appointments
*Insufficient Data
Impact of Service Center Use
(% of agencies considering the impact to be
very positive
on the following)
Personal Lines
Commercial Lines
Workflows
33.3%
*
Retention
6.7%
10.5%
Profitability
26.7%
*
Sales
0.0%
*