2025 Best Practices Study

Executive Summary

Average Revenues $1,875,302

Regional Distribution

Weighted Average Shareholder Age (WASA) 54.0

Revenue Distribution (as a % of Gross Revenue)

    

Northeast

22.2% 25.9%

Midwest

Corporate Structure

West

3.7%

Average Number of Shareholders 1.7 Average Number of Agency Locations 1.5

Southeast

40.7%

C Corp 14.8%

Southwest

7.4%

LLC 29.6% PROFILE & REVENUE GROWTH & STRATIFICATION

    

Commercial P&C

49.6% 41.1%

Personal P&C Group L/H/F

2.6% 5.9% 0.8%

S Corp 55.6%

Contingent/Bonus

Other

Notes

Account Stratification

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

Commercial P&C

• The $1.25 to $2.5M revenue band posted the highest top quartile organic growth rate at 15.9% for the second year in a row compared to other bands. • Agencies in this revenue group continue to gain the smallest percentage of revenue from Group L/H/F business compared to other revenue bands, decreasing 0.4% from 2024.

 < $5K

59.0% 14.3% 11.8%

19.7%

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

15.9%

14.3%

13.9%

12.1%

10.1% 10.0%

4.9% 9.9%

 > $50K

0.7%

Group L/H/F

Total Agency

Commercial P&C

Personal P&C

Group L/H/F

 <50 Lives

76.8%

 50-100 Lives  >100 Lives

1.1%

Median

Top Quartile

22.1%

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

$1.25-2.5M

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