2017 Best Practices Study

Regional Distribution

Corporate Structure

Average Revenues

C Corp 8.7%

Other 2.2%

LLC 28.3%

Weighted Average Shareholder Age (WASA)

 Northeast  Midwest

26.1% 21.7%

 West

8.7%

Partner- ship 6.5%

S Corp 54.3%

 Southeast  Southwest

23.9% 19.6%

Revenue Distribution (as a % of Gross Revenue)

Organic Growth in Net Commissions & Fees (excluding contingents, bonuses & overrides)

18.7%

Contingent / Bonus/ Overrides 9.1%

13.7%

Other 0.9%

11.6%

10.3%

Group L/H/F 15.9%

3.4%

3.1%

3.1%

Commercial P&C 51.9%

1.3%

Personal P&C 22.1%

Total Agency

Commercial P&C

Personal P&C

Group L/H/F

Median

Top Quartile

Note : Commercial P&C includes Bonds / Surety. Group L/H/F includes Group Medical, All Other Group, and Individual L/H/F .

Account Stratification

Notes

• Median organic growth in this revenue group was 3.1%, approximately half of the 6.1% growth rate for this group in last year’s Study .

Commercial P&C

Group L&H

Up from 54.5 last year, the WASA for this revenue group is again the highest of all revenue categories.

•

 < $5K

 Under 50 lives

32.1%

44.8%

 $5K to $10K

 From 50 to 100 lives

13.6%

21.8%

 $10K to $25K

 Over 100 lives

20.2%

33.3%

 $25K to $50K

14.0%

 > $50K

20.1%