2020 Best Practices Study

AGENCIES WITH REVENUES OF:

<$1.25M $1.25-$2.5M $2.5-$5M $5-$10M $10-$25M >$25M

Agency Commission Structure:

New Rate: Commercial P&C

42.6% 42.2% 42.8% 44.0% 39.5% 39.5% 46.9% 35.0% 32.3% 35.2% 25.9% 34.6% 34.6% 22.2%

44.5% 44.4% 44.9% 46.2% 43.2% 46.3% 49.8% 31.2% 34.3% 28.7% 25.0% 25.6% 22.1% 24.0%

43.6% 44.0% 44.0% 41.6% 44.2% 44.6% 48.1% 30.6% 31.0% 27.8% 21.4% 30.2% 29.7% 23.8%

39.9% 40.9% 38.8% 40.7% 40.7% 40.7% 45.9% 27.6% 26.1% 25.2% 19.7% 30.3% 29.4% 28.0%

39.4% 37.7% 36.7% 42.3% 39.5% 39.5% 43.3% 28.8% 28.3% 19.8% 18.2% 29.2% 29.2% 25.9%

36.8% 34.0% 35.8% 39.2% 36.8% 37.7% 41.0% 26.2% 27.0% 13.6% 15.9% 25.9% 25.7% 21.8% $3,262 $1,390 $1,507 $2,524 $2,513 $1,079 $561

Bonds/Surety

Small Commercial P&C

Personal P&C Group Medical

Other Group L/H/F Individual L/H/F Renewal Rate: Commercial P&C

Bonds/Surety

Small Commercial P&C

Personal P&C Group Medical

Other Group L/H/F Individual L/H/F

Minimum Threshold (minimum account size on which commissions are paid) :

Commercial P&C

$491 $208 $136

$400 $205

$686 $243 $121

$1,167

$1,882 $1,202

Bonds/Surety

$323 $353

Small Commercial P&C

$43

$741 $344

Personal P&C Group Medical

$87

$156 $172 $172

$65

$36

$313 $313

$432 $333

$321

$2,662 $1,779

Other Group L/H/F Individual L/H/F

$75 $79

$0

$30

$37

$968

Additional Benefits Paid (% of agencies providing this benefit to producers): Travel and Entertainment

25.9% 40.7% 14.8%

50.0% 70.0% 20.0%

80.5% 92.7% 53.7%

81.4% 95.3% 48.8%

77.8% 94.4% 50.0%

90.9% 90.9% 68.2%

Health Benefits

Automobile

52.5

50.7

50.6

50.6

50.5

50.2

50.1

50.1

50.0

49.8

49.6

49.0

48.9

48.2

48.1

48.1

47.2

46.2

< $1.25M

$1.25M-$2.5M $2.5M-$5.0M $5.0M-$10.0M $10.0M-$25.0M

> $25.0M

2018 BPS 2019 BPS 2020 BPS

 69