2013 Best Practices Study

Analysis of Agencies with Revenues Between $2,500,000 and $5,000,000

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

Validated Producer Productivity

26.9Average

Top 25%

Commercial P&C Producers Average Validated Producers # Validated

4.4

High Low

15.0

1.0

Average New Commissions Produced Annually

$55,563 $386,409 $126,051

$88,659 $669,294

Average Book Serviced (Commissions)

Average Pay ($)

Average Pay (% of Book Serviced)

32.6%

Group Life & Health Producers Average Validated Producers # Validated

1.1 2.5 0.4

High Low

Average New Commissions Produced Annually

$64,925 $313,670 $100,706

$142,473 $557,497

Average Book Serviced (Commissions)

Average Pay ($)

Average Pay (% of Book Serviced)

32.1%

Personal P&C Producers Average Validated Producers # Validated

2.4 7.5 0.7

High Low

Average New Commissions Produced Annually

$55,372 $178,762 $60,411

$106,691 $383,280

Average Book Serviced (Commissions)

Average Pay ($)

Average Pay (% of Book Serviced)

33.8%

Multi-Line Producers Average Validated Producers # Validated

2.3 8.0 1.0

High Low

2013 Best Practices Study

Average New Commissions Produced Annually

$46,076 $367,328 $98,752

$72,642 $610,641

Average Book Serviced (Commissions)

Average Pay ($)

Agencies with Revenues Between $2,500,000 and $5,000,000

Average Pay (% of Book Serviced)

26.9%

Average

+25% Profit

+25% Growth

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

68.9%

54.5%

63.6%

86

% of Earned Premium charged back to Producers for bad debt write-offs: 42.4%