2008 Best Practices Study

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

Profile

Revenues/ Expenses

Financial Stability

Employee Overview

Producer Info

Service Staff Info

Technology

Insurance Carriers

Appendix

Financial Stability

Top 25%

Average

Balance Sheet Current Ratio

1.46:1 15.9% 61.0%

2.20:1 31.3% -13.6%

Tangible Net Worth (% of Net Revenue)

Receivables/Payable Ratio

Aged Receivables

% Receivables Aged Past 60 Days % Receivables Aged Past 90 Days

181.4% 191.0%

2.1% 0.6%

Accounts Receivable

Average

+25% Profit

+25% Growth

Agency Billed vs. Direct Billed by Carrier % of P&C Revenues that are Agency Billed % of P&C Revenues that are Direct Billed

34.0% 66.0%

34.9% 65.1%

54.4% 45.6%

31 2008 Best Practices Study | Agencies with Revenues Between $1,250,000 and $2,500,000 | Financial Stability