2004 Best Practices Study

AGENCIES WITH REVENUES BETWEEN $2,500,000 AND $5,000,000

Net Revenue Growth

EXECUTIVE PERSPECTIVES

45%

Average

+25% Profit

30%

PROFILE

+25% Growth

15%

% Total Revenue

REVENUES/ EXPENSES

0%

15%

Commercial P&C

Personal P&C

Group L&H

P&C Service Fees

Individual L&H

Total Commissions & Fees

FINANCIAL STABILITY

F.

Future Revenue Growth Strategies

Study participants were asked to indicate their three most important strategies for enhancing or achieving future revenue growth.

EMPLOYEE OVERVIEW

% of Total Responses* 1 2 3

Access to Better Carriers

3.1% 0.0% 9.4%

PRODUCER INFO

Advertising/Promotions

3.1% 3.1% 15.6%

Agency/Book of Business Acquisitions

6.3%

6.3% 6.3%

SERVICE STAFF INFO

Cross-Selling/Total Account Development

15.6% 31.3% 12.5%

Producer Recruitment/Development

31.3% 25.0% 25.0%

New Business Initiatives - Prog Dev/Niche Marketing

12.5% 12.5% 18.8%

New Business Initiatives - Referrals/Centers of Influence

25.0% 18.8% 3.1%

TECHNOLOGY

New Business Initiatives - Strategic Alliances

0.0% 3.1% 9.4%

Other

3.1% 0.0% 0.0%

INSURANCE CARRIERS

*With:

1 = Critically Important 2 = Very Important 3 = Important

APPENDIX

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