2006 Best Practices Study

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

SERVICE STAFF INFO

2006

A.

Service Related Personnel

+25% Profit 16.7

+25% Growth

Average

Total # of Service Related Personnel*

15.0

17.3

*Non-commissioned employees who have responsibility -- either directly (e.g., Account Executives (AE), Account Managers (AM), Customer Service Representatives (CSRs), Assistant CSRs, etc.) or indirectly (e.g., Claims Specialist, Placer/Marketer, etc.) -- to provide or support the delivery of service to the agency’s clients.

PROFILE

Service Structure

REVENUES/ EXPENSES

+25% Profit

+25% Growth

% of Agencies Having:

Average

Separate/Dedicated Marketing Department

41.9% 62.5% 12.5%

Separate/Dedicated Claims Department

48.4% 37.5% 12.5%

Assistants for CSRs/Account Managers

58.1% 62.5% 62.5%

FINANCIAL STABILITY

EMPLOYEE OVERVIEW

B.

CSR Productivity by Line of Business CSRs includes Account Executives (non-producer position) , Senior CSRs, CSRs, Account Managers, Assistant CSRs, etc. (i.e., positions with main responsibility for client service or main responsibility to support the AE, CSR/AM in providing client services) as well as the department managers who spend a portion of their time servicing clients. Respondents were instructed to use decimals to accurately represent the actual number of full-time equivalent CSR positions.

PRODUCER INFO

SERVICE STAFF INFO

How Time Was Spent

Commercial P&C CSRs

Average Top 25%

Selling New Business (New or Acct Rounding) 7.7%

Number

6.0

Administration 4.3%

High Low

11.0

Marketing (Placement) 20.5%

2.5

TECHNOLOGY

Average Commissions Serviced

$323,725 $476,845

Customer Service 63.1%

Average Pay ($)

$41,042

Claims Processing 4.4%

Average Pay (as % of Book Serviced)

INSURANCE CARRIERS

12.7%

2006 Best Practices Study

61