2013 Best Practices Study

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

Revenues

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

(% by Source)

Average

+25% Profit

+25% Growth

Property & Casualty Commercial Commissions & Fees

46.5%

44.8%

42.5%

Bonds

2.9%

0.8%

5.6%

Personal Commissions Value Added Services

33.4%

32.8%

31.6%

0.1% 8.4%

0.1%

0.0%

Contingent/Bonus

10.5% 89.1%

10.6% 90.3%

Total P&C

91.2%

Life & Health/Financial Group Medical Commissions & Fees All Other Group Commissions & Fees Individual L&H Commissions & Fees

4.7% 0.5% 2.4% 0.4% 8.0% 0.2% 0.5%

4.8% 0.2% 5.3% 0.1%

6.9% 0.2% 1.8% 0.0% 9.0% 0.1% 0.6%

Bonus/Overrides

Total L&H/Financial

10.5%

Investments

0.2% 0.2%

Miscellaneous

Gross Revenues

100.0%

100.0%

100.0%

Brokerage Commission Expense

1.2%

0.0%

3.4%

Net Revenues

98.8%

100.0%

96.6%

Revenue by Source (% of Gross Revenues)

Average

+25% Profit

+25% Growth

60.0%

50.0%

40.0%

30.0%

2013 Best Practices Study

20.0%

% Total Revenue

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

10.0%

0.0%

P&C Commercial

P&C Bonds Comm & Fees

P&C Personal

P&C VAS Fees

P&C Contingent/ Bonus

L&H Group Medical Comm & Fees

L&H All Other Group Comm & Fees

L&H Individual

L&H Bonus/ Overrides

Investments Miscellaneous

Comm & Fees

Comm & Fees

Comm & Fees

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