2012 Best Practices Study

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

Revenue by Account Size (as measured by Comm. & Fees – not premium)

Key Benchmarks Profile

Average

+25% Profit

+25% Growth

Commercial P&C Total Commissions & Fees in Book

Revenues Expenses Profitability Employee Overview Producer Info Staff Service Info Technology Insurance Carriers Appendix

$394,568

$350,335

$413,955

Greater than $25,000 % of Book

6.1%

5.2%

13.0%

# of Accounts Total Revenue

1.7

1.5

2.3

$67,840 $39,906

$63,261 $42,174

$107,426 $46,040

Revenue per Account

Between $10,000 and $25,000 % of Book

20.1%

19.5%

14.0%

# of Accounts Total Revenue

7.6

9.5

4.6

$105,782 $13,884

$119,583 $12,588

$69,460 $15,100

Revenue per Account

Between $5,000 and $10,000 % of Book

15.9%

20.2%

15.1%

# of Accounts Total Revenue

13.3

17.2

11.6

$79,837 $6,015

$99,153 $5,765

$75,005 $6,466

Revenue per Account

Less than $5,000

% of Book

57.9%

55.1%

57.9%

# of Accounts Total Revenue

610.6

347.2

716.6

$236,729

$225,288

$287,826

Revenue per Account

$399

$649

$402

(as measured by number of lives) Group L&H/Financial Total Commissions & Fees in Book

Average

+25% Profit

+25% Growth

$112,716

$210,734

$86,465

Over 100 Lives

% of Book

4.4%

3.6%

10.2%

# of Accounts Total Revenue

1.0

1.0

1.0

$22,359 $22,359

$26,500 $26,500

$26,500 $26,500

Revenue per Account

Between 50-100 Lives % of Book

5.6%

4.7%

13.5%

# of Accounts Total Revenue

2.3

3.0

3.0

$28,154 $12,513

$35,000 $11,667

$35,000 $11,667

Revenue per Account

Between 25-50 Lives % of Book

2012 Best Practices Study

8.9%

5.1%

12.4%

# of Accounts Total Revenue

5.0

7.5

9.3

$22,478 $4,496

$18,813 $2,508

$21,417 $2,295

Agencies with Revenues Under $1,250,000

Revenue per Account

Under 25 Lives

% of Book

81.2%

86.6%

63.9%

# of Accounts Total Revenue

78.4

146.4

31.7

$96,883 $1,236

$182,412

$55,256 $1,745

6

Revenue per Account

$1,246