2015 Best Practices Study

Analysis of Agencies with Revenues Under $1,250,000

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

Revenues

(% by Source)

Average

Top 25% Profit Top 25% Growth

Property & Casualty Commercial Commissions & Fees

38.7%

34.9%

45.0%

Bonds

0.5%

0.1%

0.5%

Personal Commissions Value Added Services

47.3%

52.7%

34.2%

0.6% 5.3%

0.0% 6.6%

0.0% 2.9%

Contingent/Bonus

Total P&C

92.5%

94.3%

82.7%

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

3.6% 0.2% 3.2% 0.1% 7.1% 0.1% 0.3%

0.8% 0.1% 4.8% 0.0% 5.7% 0.1% 0.0%

8.2% 0.1% 7.7% 0.3%

Bonus/Overrides

Total L&H/Financial

16.2%

Investments Miscellaneous

0.2% 0.8%

GROSS REVENUES

100.0%

100.0%

100.0%

Brokerage Commission Expense

0.3%

0.0%

0.0%

NET REVENUES

99.7%

100.0%

100.0%

Revenue by Source (% of Gross Revenues)

Average

Top 25% Profit

Top 25% Growth

60.0%

50.0%

40.0%

2015 Best Practices Study

30.0%

20.0%

% Total Revenue

Agencies with Revenues Under $1,250,000

10.0%

0.0%

P&C Commercial

P&C Bonds Comm & Fees

P&C Personal Comm & Fees

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

5

Note: See page 163 for an explanation of column headings