95 / 204
2013 Best
Practices Study
Agencies
with Revenues
Between
$2,500,000 and
$5,000,000
95
Analysis of Agencies with Revenues Between $2,500,000 and $5,000,000
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
24.1%
*
*
Total Commercial Lines Commission placed in
Carrier Service Center
3.8%
*
*
Use of Carrier Service Centers
Average +25% Profit +25% Growth
Carrier Representation
Personal Lines P&C
National
7.5
4.9
5.4
Regional
8.4
6.0
6.5
Total
16.0
10.9
11.9
Commercial Lines P&C
National
12.5
7.8
10.5
Regional
13.1
7.3
14.2
Total
25.6
15.1
24.7
Group L&H / Financial
Total Life, Health, Disability, LTC,
Retirement Products, and Other
11.4
4.9
14.5
Carriers
Average
+25% Profit
+25% Growth
Agency’s Total % of Commission & Fee Revenue Derived from Direct Versus Indirect Appointments
INDIRECT Carrier Appointments
15.6%
8.1%
14.4%
DIRECT Carrier Appointments
84.4%
91.9%
85.6%
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
50.0%
*
Retention
0.0%
18.2%
Profitability
16.7%
*
Sales
0.0%
*