2014 Best Practices Study

Analysis of Agencies with Revenues Under $1,250,000

Key Benchmarks

Technology

Profile

Revenues

Average

Top 25%

Information Technology Employees (FTE) Number

Expenses

0.6 3.0 0.1

Profitability

High Low

Employee Overview

Number of IT Employees per 100 users

N/A

Producer Info

Revenue per IT Employee Total IT Payroll Expense ($)

$657,966 $14,419

$1,076,340

Service Staff Info Technology

$31,371

As % of Total Compensation Expense

3.3% 1.7%

As % of Net Revenues

Insurance Carriers

Appendix

Average

+25% Profit

+25% Growth

3.1%

2.9%

2.5%

Total IT Expenses 1 (as % of net revenues)

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.

Agency Management System Utilized

SIS 3.4%

Instar 3.4%

Other included ITC/INSPRO, NASA Eclispe, Jenesis, and No Agency Management System

EPIC 6.9%

AMS360 27.6%

AFW 6.9%

Hawksoft 10.3%

2014 Best Practices Study

Other 13.8%

TAM 27.6%

Agencies with Revenues Under $1,250,000

24