2009 Best Practices Study

Agencies with Revenues Less than $1,250,000

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

1.16:1 12.0% 68.5%

1.63:1 33.9% -19.2%

Tangible Net Worth (% of Net Revenue)

Receivables/Payable Ratio

Aged Receivables

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

15.6% 25.1%

1.1% 2.2%

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

12.1% 81.5%

3.0%

12.1% 75.4%

72.0%

11 2009 Best Practices Study | Agencies with Revenues Less than $1,250,000 | Financial Stability