2005 Best Practices Study

AGENCIES WITH REVENUES BETWEEN $5,000,000 AND $10,000,000

INSURANCE CARRIERS

2005

A.

Number of P&C Carriers Represented

+25% Profit

+25% Growth

Average

Personal Lines National

7.0

4.7

5.9

PROFILE

Regional

4.9

2.6

4.9

Commercial Lines National

17.9

13.1

16.4

REVENUES/ EXPENSES

Regional

9.2

6.4

6.9

B.

Number of Group Employee Benefits Carriers Represented

+25% Profit

+25% Growth

Average

FINANCIAL STABILITY

Average Total GEB Carriers

28.4

31.7

20.8

Average Number by Product GL&H

11.4

15.6

6.3

LTD

7.9

9.3

6.0

EMPLOYEE OVERVIEW

Dental

7.0

8.7

4.2

Retirement

4.1

5.0

6.3

C.

Commission Income Derived from Top Carriers

PRODUCER INFO

+25% Profit

+25% Growth

Average

% of Net Revenue from Top P&C Carrier

14.6% 14.6% 16.0%

SERVICE STAFF INFO

% of Net Revenue from Top 3 P&C Carriers

29.2% 31.0% 30.5%

% of Net Revenue from Top GL&H Carrier

4.8% 2.0% 5.4%

% of Net Revenue from Top 3 GL&H Carriers

8.6% 3.9% 10.4%

TECHNOLOGY

D.

Carrier Service Center Use

+25% Profit

+25% Growth

Average

% of Agency’s Personal Lines Commissions Placed in Service Centers % of Agency’s Commercial Lines Commissions Placed in Service Centers

INSURANCE CARRIERS

19.3% 29.1%

*

4.5% 8.2% 1.9%

*Insufficient Data

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