2024 Best Practices Study

Executive Summary

Weighted Average Shareholder Age (WASA) 52.2

Average Revenues $16,125,957

Regional Distribution

 Northeast  Midwest

16.7% 12.5% 18.8% 37.5% 14.6%

 West

 Southeast  Southwest

Corporate Structure

Average Number of Shareholders 6.2 Average Number of Agency Locations 3.9

Profile

C Corp 22.9%

LLC 25.0%

Partner ship 4.2%

S Corp 47.9%

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

Revenue Distribution (as a % of Gross Revenue)

18.9%

Contingent/ Bonus/ Overrides 7.9%

Other 2.3%

15.6%

14.5%

12.2%

11.8%

11.8%

10.4%

Group L/H/F 16.6%

7.3%

Commercial P&C 57.0%

Personal P&C 16.2%

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 .

Revenue and Growth

Notes

Account Stratification

• Agencies in this revenue category posted double-digit organic growth (10.4%) for the third year in a row. • As a % of Net Revenue, brokers with $10 25M generate more revenue from

Commercial P&C

Group L/H/F

Commercial P&C (incl. Bonds) than any other Best Practices revenue group.

 < $5K

25.2% 12.1% 18.5% 14.3% 30.0%

 Under 50 lives

40.1%

 $5K to $10K  $10K to $25K  $25K to $50K

 From 50-100 lives 17.1%

 Over 100 lives

42.8%

 > $50K

$10-25M

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