2015 Best Practices Study

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

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

14.0 10.4 24.4 28.4 20.1 48.6

10.6 10.3 20.8 18.8 18.4 37.2

11.1 11.3 22.4 19.8 19.9 39.6

Regional

Total

Commercial Lines P&C National

Regional

Total

Group L&H / Financial

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

41.6

34.8

29.1

Carrier Appointments

Average

Top 25% Profit Top 25% Growth

% of Total Commission & Fee Revenue Derived from Direct Versus Indirect Appointments INDIRECT Carrier Appointments 16.4% 14.7%

12.9% 87.1%

DIRECT Carrier Appointments

83.6%

85.3%

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

14.6%

22.6%

31.6%

4.3%

10.1%

3.9%

2015 Best Practices Study

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

129

Note: See page 163 for an explanation of column headings