2025 Best Practices Study

Executive Summary

Average Revenues $1,875,302

Regional Distribution

Weighted Average Shareholder Age (WASA) 54.0

Revenue Distribution (as a % of Gross Revenue)

◼

Northeast

22.2%

◼

Midwest

25.9%

Corporate Structure

◼

West

3.7%

Average Number of Shareholders 1.7 Average Number of Agency Locations 1.5

◼

Southeast

40.7%

C Corp 14.8%

◼

Southwest

7.4%

• PROFILE & REVENUE GROWTH & STRATIFICATION LLC 29.6%

◼

Commercial P&C

49.6%

◼

Personal P&C

41.1%

◼

Group L/H/F

2.6%

S Corp 55.6%

◼

Contingent/Bonus

5.9%

◼

Other

0.8%

Notes

Account Stratification

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

Commercial P&C

• The $1.25 to $2.5M revenue band posted the highest top quartile organic growth rate at 15.9% for the second year in a row compared to other bands. Agencies in this revenue group continue to gain the smallest percentage of revenue from Group L/H/F business compared to other revenue bands, decreasing 0.4% from 2024.

◼ < $5K

59.0%

19.7%

◼ $5K to $10K ◼ $10K to $25K ◼ $25K to $50K

14.3%

15.9%

14.3%

13.9%

11.8%

12.1%

10.1% 10.0%

4.9%

◼ > $50K

9.9%

0.7%

Group L/H/F

Total Agency

Commercial P&C

Personal P&C

Group L/H/F

◼ <50 Lives

76.8%

◼ 50-100 Lives ◼ >100 Lives

1.1%

Median

Top Quartile

22.1%

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

$1.25-2.5M

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