2013 Best Practices Study

Analysis of Agencies with Revenues Between $10,000,000 and $25,000,000

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

Revenue from Top Insurance Carriers

Average

+25% Profit

+25% Growth

P&C Commission Income from Top Carrier Top P&C Carrier

$1,726,038

$1,437,582

$2,057,611

as % of Agency Net Revenue

11.5%

10.9%

12.5%

Top 3 P&C Carriers

$3,574,481

$3,246,255

$4,606,363

as % of Agency Net Revenue

23.5%

24.7%

27.6%

Top P&C Carrier —Breakdown By Line of Business

Average

+25% Profit

+25% Growth

Personal 29.6%

Personal 33.8%

Personal 31.2%

Mid/Large Commerical 51.8%

Mid/Large Commerical 46.9%

Mid/Large Commerical 50.6%

Small Commercial 17.9%

Small Commercial 19.9%

Small Commercial 19.2%

Top 3 P&C Carriers —Breakdown By Line of Business

Average

+25% Profit

+25% Growth

Personal 27.5%

Personal 33.8%

Personal 30.2%

Mid/Large Commerical 51.8%

Mid/Large Commerical 46.9%

Mid/Large Commerical 53.7%

Small Commercial 18.8%

Small Commercial 17.9%

Small Commercial 19.3%

2013 Best Practices Study

Average

+25% Profit

+25% Growth

L&H/F Commission Income from Top Carrier as % of Net Rev from Top L&H/F Carrier as % of Net Rev from Top 3 L&H/F Carriers

Agencies with Revenues Between $10,000,000 and $25,000,000

6.6% 3.6%

6.5% 7.4%

7.7% 2.4%

160