2014 Best Practices Study

Analysis of Agencies with Revenues Between $5,000,000 and $10,000,000

Key Benchmarks

Carriers

Profile

Revenues

Average +25% Profit +25% Growth

Carrier Representation Personal Lines P&C National

Expenses

Profitability

11.7

10.8

14.0

Employee Overview

Regional

8.3

9.6

8.3

Total

19.9

20.3

22.3

Producer Info

Commercial Lines P&C National

Service Staff Info

14.4 12.5 26.8

13.6 13.0 26.6

11.0

Regional

9.6

Technology Insurance Carriers

Total

20.6

Group L&H / Financial

Appendix

Total Life, Health, Disability, LTC, Retirement Products, and Other

28.5

16.6

22.5

Carrier Appointments

Average

+25% Profit

+25% Growth

% of Total Commission & Fee Revenue Derived from Direct Versus Indirect Appointments INDIRECT Carrier Appointments 17.2% 9.1%

12.7% 76.2%

DIRECT Carrier Appointments

80.1%

79.8%

Use of Carrier Service Centers

Average

+25% Profit

+25% Growth

Service Center Use Total Personal Lines Commission placed in Carrier Service Center Total Commercial Lines Commission placed in Carrier Service Center

28.0%

29.5%

32.8%

5.6%

6.0%

3.7%

2014 Best Practices Study

Agencies with Revenues Between $5,000,000 and $10,000,000

103