2024 Best Practices Study

Executive Summary

Weighted Average Shareholder Age (WASA) 53.8

Average Revenues $1,828,110

Regional Distribution

 Northeast  Midwest

20.7% 27.6%

 West

3.4%

 Southeast  Southwest

37.9% 10.3%

Corporate Structure

Average Number of Shareholders 1.8 Average Number of Agency Locations 1.4

Profile

C Corp 13.8%

LLC 20.7%

S Corp 65.5%

Organic Growth in Net Commissions & Fees (excluding contingents, bonuses & overrides)

Revenue Distribution (as a % of Gross Revenue)

Contingent/ Bonus/ Overrides 7.5%

20.3%

Other 1.0%

18.1%

16.6%

16.1%

Group L/H/F 3.0%

11.4%

10.1%

7.4%

Commercial P&C 50.7%

Personal P&C 37.8%

1.5%

Total Agency

Commercial P&C

Personal P&C

Group L/H/F

Median

Top Quartile

Note : Commercial P&C includes Bonds/Surety. Group L/H/F includes Group Medical, All Other Group, and Individual L/H/F .

Revenue and Growth

Account Stratification

Notes

• The $1.25M to $2.5M revenue group posted the second highest organic growth rate, 11.4%, and the highest top quartile organic growth rate of 16.1%. • Group L/H/F revenue shrunk by 1.4% year over year to 3%. This is the smallest percentage of Group L/H/F business for all revenue groups and 4% less than the $2.5 5M revenue group.

Commercial P&C

Group L/H/F

 < $5K

55.3% 12.8% 14.6%

 Under 50 lives

76.3%

 $5K to $10K  $10K to $25K  $25K to $50K

 From 50-100 lives 10.4%

 Over 100 lives

13.3%

6.4%

 > $50K

11.0%

$1.25-2.5M

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