2004 Best Practices Study

AGENCIES WITH REVENUES OVER $25,000,000

B.

Validated Producer Results 1.

EXECUTIVE PERSPECTIVES

Typical Producer Productivity

Commercial P&C

Group L&H

Personal P&C

Multi- Lines

33.9 71.0 12.0

12.6 47.0

5.8

6.0

Average

Number of Validated Producers

14.0

14.0

High Low

PROFILE

1.0

1.0

1.0

$112,898 $116,408 $47,738 $137,530

Average

New Commissions Produced Annually

$186,832 $170,464

*

*

Top 25%

REVENUES/ EXPENSES

$694,983 $497,846 $293,395 $689,911

Average

Total Commissions in Producer’s Book

$986,210 $639,430

*

*

Top 25%

Annual Pay per Producer

FINANCIAL STABILITY

$188,769 $156,812 $59,541 $199,693

Annual Pay as % of Producer’s Book

27.2% 31.5% 20.3% 28.9%

*Insufficient data

EMPLOYEE OVERVIEW

2.

Most Successful Producer Productivity

Commercial P&C

Group L&H

$216,323 $198,240

Average

PRODUCER INFO

New Commissions Produced Annually

$369,757 $317,192

Top 25%

$1,735,149 $1,304,290

Average

Total Commissions in Producer’s Book

SERVICE STAFF INFO

$2,380,067 $2,271,199

Top 25%

$45,159 $21,995

Average

Average Commissions per Account

$84,825 $40,550

Top 25%

TECHNOLOGY

How Most Successful Producers Spent Time

Commercial P&C Producer

Group L&H Producer

Soliciting New Business 29.0%

Soliciting New Business 39.0%

Management/ Personnel/Agency Administrative 7.1%

Management/ Personnel/Agency Administrative 7.7%

INSURANCE CARRIERS

Personal Training/ Education/

Personal Training/ Education/

Servicing Existing Accounts 57.8%

Servicing Existing Accounts 46.9%

Professional Development 6.1% %

APPENDIX

Professional Development 6.4% %

165