2007 Best Practices Study

Agencies with Revenues Between $1,250,000 and $2,500,000

Executive Perspectives

Profile

Revenues/ Expenses

Financial Stability

Employee Overview

Producer Info

Service Staff Info

Technology

Insurance Carriers

Appendix

Carriers

Average

+25% Profit

+25% Growth

Carrier Representation Personal Lines P&C National

3.7 5.3 9.0

4.5 3.6 8.1

5.0 7.6

Regional

12.6

Total

Commercial Lines P&C National

5.7 9.5

5.3 5.1

8.4

Regional

14.5 22.9

15.2

10.4

Total

Employee Benefits Life

4.9 6.1 2.5 2.1 1.3

3.7 6.9 1.5 1.0 1.0

3.7 8.7 2.8 2.3 1.9

Health

LTD

Dental

Retirement Products

16.8

13.7

19.3

Total

Average

+25% Profit

+25% Growth

Commission Income Derived from Top Carriers % of Net Revenue from Top P&C Carrier % of Net Revenue from Top 3 P&C Carriers % of Net Revenue from Top L&H/F Carrier % of Net Revenue from Top 3 L&H/F Carriers

24.0% 42.3%

22.2% 43.3% 13.1% 10.7%

22.8% 42.6% 15.4% 11.3%

7.8% 9.8%

Revenues from Top P&C Carrier - Breakdown by Line of Business

Average

+25% Profit

+25% Growth

Personal 30.5%

Personal 41.0%

Small Commercial 37.6%

Small Commercial 29.1%

Personal 12.7%

Small Commercial 28.4%

Mid/Large Commercial 30.6%

Mid/Large Commercial 33.7%

Mid/Large Commercial 37.2%

56 2007 Best Practices Study | Agencies with Revenues Between $1,250,000 and $2,500,000 | Insurance Carriers