159 / 204
2013 Best
Practices Study
Agencies
with Revenues
Between
$10,000,000 and
$25,000,000
159
Analysis of Agencies with Revenues Between $10,000,000 and $25,000,000
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
13.0%
18.3%
*
Total Commercial Lines Commission placed in
Carrier Service Center
3.6%
7.4%
2.4%
Use of Carrier Service Centers
Average +25% Profit +25% Growth
Carrier Representation
Personal Lines P&C
National
14.0
16.6
7.1
Regional
9.2
5.4
12.0
Total
23.2
22.0
19.1
Commercial Lines P&C
National
34.2
13.2
19.7
Regional
20.7
13.3
13.4
Total
55.0
26.5
33.1
Group L&H / Financial
Total Life, Health, Disability, LTC,
Retirement Products, and Other
50.6
47.6
35.0
Carriers
Average
+25% Profit
+25% Growth
Agency’s Total % of Commission & Fee Revenue Derived from Direct Versus Indirect Appointments
INDIRECT Carrier Appointments
20.3%
27.4%
21.8%
DIRECT Carrier Appointments
79.7%
72.6%
78.2%
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
14.3%%
*
Retention
7.1%
18.2%
Profitability
14.3%
*
Sales
0.0%
*