2006 Best Practices Study

AGENCIES WITH REVENUES BETWEEN $5,000,000 AND $10,000,000

SERVICE STAFF INFO

2006

A.

Service Related Personnel

+25% Profit 31.9

+25% Growth

Average

Total # of Service Related Personnel*

27.3

29.5

*Non-commissioned employees who have responsibility -- either directly (e.g., Account Executives (AE), Account Managers (AM), Customer Service Representatives (CSRs), Assistant CSRs, etc.) or indirectly (e.g., Claims Specialist, Placer/Marketer, etc.) -- to provide or support the delivery of service to the agency’s clients.

PROFILE

Service Structure

REVENUES/ EXPENSES

+25% Profit

+25% Growth

% of Agencies Having:

Average

Separate/Dedicated Marketing Department

73.5% 55.6% 66.7%

Separate/Dedicated Claims Department

73.5% 77.8% 77.8%

Assistants for CSRs/Account Managers

58.8% 44.4% 55.6%

FINANCIAL STABILITY

EMPLOYEE OVERVIEW

B.

CSR Productivity by Line of Business CSRs includes Account Executives (non-producer position) , Senior CSRs, CSRs, Account Managers, Assistant CSRs, etc. (i.e., positions with main responsibility for client service or main responsibility to support the AE, CSR/AM in providing client services) as well as the department managers who spend a portion of their time servicing clients. Respondents were instructed to use decimals to accurately represent the actual number of full-time equivalent CSR positions.

PRODUCER INFO

SERVICE STAFF INFO

How Time Was Spent

Commercial P&C CSRs

Average Top 25%

Selling New Business (New or Acct Rounding) 6.1%

Number

12.1 21.0

Administration 6.1%

High Low

Marketing (Placement) 17.7%

5.0

TECHNOLOGY

Average Commissions Serviced

$333,525 $440,347

Customer Service 66.5%

Average Pay ($)

$47,025

Claims Processing 3.7%

Average Pay (as % of Book Serviced)

INSURANCE CARRIERS

14.1%

2006 Best Practices Study

77