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INTRODUCTION
For more than a dozen years, the annual
Best Practices Study
has served as a tool to
help agency owners and managers understand how their business operations perform
and measure up to the top performing firms across the country. It is a “must have” for
those agencies that want to become the best they can be.
The
2005 Best Practices Study Executive Update
provides critical performance
benchmarks in seven agency revenue categories ranging from
Under $500,000
to
Over
$25,000,000
. Agencies can measure, evaluate, and compare results for agency opera-
tions including:
•
Income & Expense Distribution
•
Revenue & Profitability Growth
•
Production & Service Staff Compensation/Productivity
•
Technology Expenses
•
P&C and GL&H Carrier Representation
•
Much more
This year’s
Executive Update
continues to follow the performance of the 195 agencies
selected as Best Practices Agencies in 2004.
(NOTE: New agencies are selected every
third year.)
Although it updates all of the important financial and operational benchmarks
and can be used on a standalone basis, readers of this update may also want to refer-
ence the comprehensive
2004 Best Practices Study
for additional information on the
2004 Best Practices Agencies including:
•
Factors most critical to success
•
Top challenges
•
Keys for maximizing productivity
•
Keys for gaining a competitive advantage
•
Additional operational results and business practices
The comprehensive 2004 study is available in hard copy only and can be purchased from
the Independent Insurance Agents & Brokers of America (IIABA) Education Department.
Order forms can be downloaded at
http://bp.reaganconsulting.com/.About the Study
The History
The annual
Best Practices Study
originated in 1993 as an initiative by the Independent
Insurance Agents & Brokers of America (IIABA) to help its members build and maintain
the value of their most important assets, their agencies. By studying the leading agen-
cies and brokers in the country, the association hoped to provide member agents with
meaningful performance benchmarks and business strategies that could be adopted or
2005 BEST PRACTICES STUDY