2014 Best Practices Study

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

Key Benchmarks

Revenue from Top Insurance Carriers

Profile

Revenues

Average

+25% Profit

+25% Growth

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

Expenses

$657,900

$580,046

$601,016

Profitability

as % of Agency Net Revenue

19.2%

18.0%

17.4%

Employee Overview

Top P&C Carrier —Breakdown By Line of Business

Producer Info

Average

+25% Profit

+25% Growth

Service Staff Info

Personal 38.3%

Personal 37.9%

Personal 41.2%

Mid/Large Commerical 29.4%

Mid/Large Commerical 35.7%

Mid/Large Commerical 37.0%

Technology Insurance Carriers

Appendix

Small Commercial 24.8%

Small Commercial 29.4%

Small Commercial 26.4%

Top 3 P&C Carriers

$1,261,779

$1,243,216

$1,091,726

as % of Agency Net Revenue

36.8%

38.5%

32.1%

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

Average

+25% Profit

+25% Growth

Personal 36.8%

Personal 42.5%

Mid/Large Commerical 29.6%

Mid/Large Commerical 35.2%

Mid/Large Commerical 36.8%

Personal 39.7%

Small Commercial 26.4%

Small Commercial 27.9%

Small Commercial 25.1%

2014 Best Practices Study

Average

+25% Profit

+25% Growth

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

4.5% 7.1%

2.8% 3.9%

3.6% 5.5%

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

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