2015 Best Practices Study

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

Key Benchmarks Profile

Carriers

Revenues Expenses Profitability Employee Overview Producer Info Service Staff Info Technology Insurance Carriers Appendix

Average

Top 25% Profit

Top 25% Growth

Carrier Representation Personal Lines P&C National

12.6

13.9

9.0

Regional

8.4

8.8

12.7 21.7

Total

21.0

22.6

Commercial Lines P&C National

16.1 12.8 28.9

17.0 11.0 28.0

22.3 23.7 46.0

Regional

Total

Group L&H / Financial

Total Life, Health, Disability, LTC, Retirement Products, and Other

30.9

26.9

40.3

Carrier Appointments

Average

Top 25% Profit Top 25% Growth

% of Total Commission & Fee Revenue Derived from Direct Versus Indirect Appointments INDIRECT Carrier Appointments 16.2% 13.5%

15.3% 84.7%

DIRECT Carrier Appointments

83.8%

86.5%

Use of Carrier Service Centers

Average

Top 25% Profit Top 25% Growth

Service Center Use % of Personal Lines Commission placed in Carrier Service Center % of Commercial Lines Commission placed in Carrier Service Center

23.5%

5.2%

18.8%

5.3%

5.9%

5.0%

2015 Best Practices Study

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

103

Note: See page 163 for an explanation of column headings