2013 Best Practices Study

Analysis of Agencies with Revenues Between $5,000,000 and $10,000,000

Key Benchmarks Mgmt. Perspectives Profile Revenues Expenses Profitability Employee Overview Producer Info Service Staff Info Technology Insurance Carriers Appendix

Validated Producer Productivity

Average

Top 25%

Commercial P&C Producers Average Validated Producers # Validated

6.3

High Low

13.0

1.0

Average New Commissions Produced Annually

$71,317 $501,824 $169,334

$125,924 $746,495

Average Book Serviced (Commissions)

Average Pay ($)

Average Pay (% of Book Serviced)

33.7%

Group Life & Health Producers Average Validated Producers # Validated

2.2 7.0 1.0

High Low

Average New Commissions Produced Annually

$80,451 $477,223 $155,895

$140,324 $854,331

Average Book Serviced (Commissions)

Average Pay ($)

Average Pay (% of Book Serviced)

32.7%

Personal P&C Producers Average Validated Producers # Validated

2.5 8.0 0.5

High Low

Average New Commissions Produced Annually

$48,318 $220,661 $65,620

$93,466 $399,309

Average Book Serviced (Commissions)

Average Pay ($)

Average Pay (% of Book Serviced)

29.7%

Multi-Line Producers Average Validated Producers # Validated

5.5

High Low

15.0

1.0

2013 Best Practices Study

Average New Commissions Produced Annually

$79,938 $584,019 $182,770

$168,376 $893,534

Average Book Serviced (Commissions)

Average Pay ($)

Agencies with Revenues Between $5,000,000 and $10,000,000

Average Pay (% of Book Serviced)

31.3%

Average

+25% Profit

+25% Growth

% of Agencies That Reimburse All/Part T&E Expense

79.1%

50.0%

90.0%

118

% of Earned Premium charged back to Producers for bad debt write-offs: 50.9%