2025 Best Practices Study

Executive Summary

Average Revenues $46,310,934

Regional Distribution

Weighted Average Shareholder Age (WASA) 53.7

Revenue Distribution (as a % of Gross Revenue)

◼

Northeast

22.2%

◼

Midwest

25.0%

Corporate Structure

◼

West

25.0%

Average Number of Shareholders 24.7 Average Number of Agency Locations 7.8

Other 2.8%

◼

Southeast

16.7%

C Corp 30.6%

◼

LLC 19.4%

Southwest

11.1%

Partner ship 2.8% PROFILE & REVENUE GROWTH & STRATIFICATION

◼

Commercial P&C

54.1%

◼

Personal P&C

12.1%

◼

Group L/H/F

24.0%

S Corp 44.4%

◼

Contingent/Bonus

7.8%

◼

Other

2.0%

Notes

Account Stratification

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

Commercial P&C

• The $25M to $100M agencies posted the second highest percentage of revenue from Group L/H/F (24.0%) of all revenue bands. • With a WASA of 53.7, this marks three straight years of decreasing WASA for firms with $25 - $100M in revenue.

◼ < $5K

14.6%

14.2%

12.8%

◼ $5K to $10K ◼ $10K to $25K ◼ $25K to $50K

8.4%

12.5%

11.2%

10.7%

16.2%

9.5%

7.7%

15.2%

6.5%

◼ > $50K

45.6%

Group L/H/F

Total Agency

Commercial P&C

Personal P&C

Group L/H/F

◼ <50 Lives

30.3%

◼ 50-100 Lives ◼ >100 Lives

19.2%

Median

Top Quartile

50.4%

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

$25-100M

45