2013 Best Practices Study

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

Technology

Average

Top 25%

Information Technology Employees (FTE) Number

6.6

High Low

21.8

1.5

Total IT Payroll Expense ($)

$578,557

$1,136,090

As % of Total Compensation Expense

1.6% 1.0%

As % of Net Revenues

Average

+25% Profit

+25% Growth

Total IT Expenses 1 (as % of net revenues)

2.3%

2.0%

2.4%

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 3.8%

AMS 360 7.7%

Agency Management System Utilized

TAM 34.6%

Vision 11.5%

Other included AIM, Brokerage Builder for EB, BenefitPoint and multiple vendor systems throughout organization.

EPIC 15.4%

*

Sagitta 26.9%

Average +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% Other included imaging software, pipeline management reporting, workflow efficiencies, and in-house applications. +25% Profit

2013 Best Practices Study

Agencies with Revenues Over $25,000,000

189

Made with