2022 Best Practices Study

Revenue Growth

AGENCIES WITH REVENUES OF:

MEDIAN

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

Revenue Growth by Source: TOTAL COMMISSIONS & FEES Renewal Business

93.1% 13.4% 0.0% 8.5% 7.2% 7.5% 7.5% 7.2% 6.0%

94.4% 14.8% 0.0% 8.2% 8.2% -8.3% 8.2% 8.2% 3.7%

94.2% 14.3% 0.0% 9.5% 8.2% 5.2% 9.1% 8.3% 2.9%

97.9% 13.1%

96.1% 13.7%

95.4% 14.3%

New Business

Acquired Business

0.0%

0.0%

0.0% 9.2% 8.8%

Total Growth

12.0% 10.6% 16.7%

10.2% 10.0% -8.0%

Organic Growth

Brokerage Commission Expense Net Commissions and Fees Total Growth

14.0%

11.7% 10.5%

10.4% 10.2%

8.5% 8.5% 3.7%

Organic Growth

2021 BPS Organic Growth

3.7%

4.0%

P&C Contingent Income L/H/F Bonus Income Investment Income Miscellaneous Income

-6.0%

-1.0%

-5.0%

4.4% -7.5% -6.9%

-5.7% -4.4% 6.2% -0.8% 9.9% 9.7%

7.8% 4.6%

-11.1%

*

-23.8%

6.9% 0.0%

5.2% 0.0% 8.3% 8.6%

2.7%

-22.1%

-19.0%

-29.7%

0.0%

NET REVENUE TOTAL GROWTH NET REVENUE ORGANIC GROWTH

10.0%

5.9% 5.9%

8.7% 8.6%

10.6% 10.8%

9.5%

AGENCIES WITH REVENUES OF:

TOP QUARTILE

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

Renewal Business

105.4%

110.4%

121.4%

106.0%

103.0%

103.9%

New Business

26.6%

29.8%

25.7%

24.9%

23.0%

24.3%

Acquired Business

5.7%

5.6%

7.2%

5.2%

3.5%

8.2%

Total Growth

62.1% 18.7% 22.2% 21.3% 18.6% 18.8% 37.2% -11.1% 18.1% 84.5% 20.5% 18.1%

34.9% 19.6% 54.6% 20.7% 19.5% 17.2%

47.4% 19.2% 29.1% 24.2% 19.1% 15.0% 32.9% -18.0% 29.9% 73.3% 22.6% 18.3%

25.7% 24.8% 54.1% 24.1% 24.4% 15.4% 33.5% 22.5% 25.3% 26.8% 25.8% 26.4%

20.7% 20.2% 14.8% 21.4% 20.9% 10.5% 32.2% 19.9% 31.9% 155.2% 23.0% 22.3%

38.8% 25.2% 52.4% 23.5% 25.4% 12.7% 36.0% 31.9% 19.0% 202.2% 24.9% 26.7%

Organic Growth

Brokerage Commission Expense Net Commissions and Fees Total Growth

Organic Growth

2021 BPS Organic Growth

P&C Contingent Income L/H/F Bonus Income Investment Income Miscellaneous Income

33.6%

*

21.9% 54.3% 20.5% 21.2%

NET REVENUE TOTAL GROWTH NET REVENUE ORGANIC GROWTH

*Insufficient Data

Note: The Median is the mid-point in a list of data – it is different than the Mean or Average. Median data cannot be added/subtracted to arrive at related Medians. Each data point presented above (Renewal Business %, New Business %, Total Growth %, Organic Growth %, etc.) must be viewed as a discrete Median data point.

Cross Category Comparison

50