2004 Best Practices Study

AGENCIES WITH REVENUES BETWEEN $10,000,000 AND $25,000,000

B.

Validated Producer Results 1.

EXECUTIVE PERSPECTIVES

Typical Producer Productivity

Commercial P&C

Group L&H

Personal P&C

Multi- Lines

14.5 35.8

4.2

1.6 3.2 1.0

7.9

Average

Number of Validated Producers

12.0

15.0

High Low

PROFILE

3.0

1.0

1.0

$96,692 $117,619 $51,805 $67,070

Average

New Commissions Produced Annually

$153,430 $253,434 $88,319

*

Top 25%

REVENUES/ EXPENSES

$645,327 $532,356 $353,455 $492,798

Average

Total Commissions in Producer’s Book

$1,052,590 $874,373 $571,198

*

Top 25%

Annual Pay per Producer

FINANCIAL STABILITY

$213,183 $172,686 $87,137 $173,974

Annual Pay as % of Producer’s Book

33.0% 32.4% 24.7% 35.3%

*Insufficient data

EMPLOYEE OVERVIEW

2.

Most Successful Producer Productivity

Commercial P&C

Group L&H

$162,574 $136,311

Average

PRODUCER INFO

New Commissions Produced Annually

$281,498 $230,436

Top 25%

$1,335,618 $846,319

Average

Total Commissions in Producer’s Book

SERVICE STAFF INFO

$2,207,247 $1,422,972

Top 25%

$26,557 $17,800

Average

Average Commissions per Account

$68,103 $42,350

Top 25%

TECHNOLOGY

How Most Successful Producers Spent Time

Commercial P&C Producer

Group L&H Producer

Soliciting New Business 34.3%

Soliciting New Business 31.3%

Management/ Personnel/Agency Administrative 10.8%

Management/ Personnel/Agency Administrative 7.8%

INSURANCE CARRIERS

Personal Training/ Education/

Personal Training/ Education/

Servicing Existing Accounts 51.8%

Servicing Existing Accounts 51.3%

APPENDIX

Professional Development 6.1% %

Professional Development 6.6% %

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