2015 Best Practices Study

Analysis of Agencies with Revenues Between $1,250,000 and $2,500,000

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

5.0 5.3

2.8 4.0 6.8 4.7 4.2 8.8

4.5 5.2 9.7 4.8 4.7 9.5

Regional

Total

10.2

Commercial Lines P&C National

7.2 7.6

Regional

Total

14.8

Group L&H / Financial

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

9.7

13.3

9.8

Carrier Appointments

Average

Top 25% Profit Top 25% Growth

% of Total Commission & Fee Revenue Derived from Direct Versus Indirect Appointments INDIRECT Carrier Appointments 12.7% 7.5%

23.4% 76.6%

DIRECT Carrier Appointments

87.3%

92.5%

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

26.7%

*

*

3.0%

*

*

2015 Best Practices Study

*Insufficient Data

Agencies with Revenues Between $1,250,000 and $2,500,000

51

Note: See page 163 for an explanation of column headings