2013 Best Practices Study

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2013 Best
Practices Study
Agencies
with
Revenues
Over
$25,000,000
189
Analysis of Agencies with Revenues Over $25,000,000
Key Benchmarks
Mgmt. Perspectives
Profile
Revenues
Expenses
Profitability
Employee Overview
Producer Info
Service Staff Info
Technology
Insurance Carriers
Appendix
Average Top 25%
Information Technology Employees (FTE)
Number 6.6
High 21.8
Low 1.5
Total IT Payroll Expense ($) $578,557 $1,136,090
As % of Total Compensation Expense 1.6%
As % of Net Revenues 1.0%
1 Includes hardware/software leasing including offsite applications, supplies, maintenance & maintenance contracts, training, data lines, internet providers,
website development/maintenance, outside consulting fees, computer depreciation, software amortization, and any non-depreciated hardware/software.
Other included AIM, Brokerage Builder for
EB, BenefitPoint and multiple vendor systems
throughout organization.
Technology
Agency Management
System Utilized
Average +25% Profit +25% Growth
Total IT Expenses1 (as % of net revenues) 2.3% 2.0% 2.4%
Average +25% Profit +25% Growth
Top Priorities for Software/IT Investments in Coming Year (% of agencies indicating investment as one of top 3)
Agency Management System 69.2% 66.7% 33.3%
Comparative Rating 3.8% 0.0% 0.0%
Real-time Connectivty/Download to Carriers 11.5% 0.0% 0.0%
Web Portal (Client Payments, Billing Inquiry, Quotes, etc.) 42.3% 50.0% 66.7%
Internet Marketing/Social Media 26.9% 50.0% 33.3%
Business Intelligence/Dashboards/Reporting 50.0% 16.7% 16.7%
Producer Automation 34.6% 33.3% 0.0%
Data Privacy Compliance 15.4% 33.3% 33.3%
Disaster Recovery 34.6% 33.3% 50.0%
Application, Database & Network/Server Security 34.6% 7.7% 16.7%
E-initiatives (eSignature, Electronic Policy Delivery, EFT, etc.) 30.8% 0.0% 33.3%
Other 11.5% 0.0% 0.0%
TAM
34.6%
Sagitta
26.9%
EPIC
15.4%
Vision
11.5%
AMS
360
7.7%
Other
3.8%
*
Other included imaging software, pipeline management reporting, workflow efficiencies, and in-house applications.