2001 Best Practices Study

T ABLE OF C ONTENTS

Introduction

1

Special Analysis of Agencies with Revenues Less than $1,250,000 Personal Lines Analysis

3 5 7

Regional Analysis

Population Density Analysis

Special Analysis of Agencies with Revenues Greater than $1,250,000 Personal Lines Analysis

8

Regional Analysis

10 12

Population Density Analysis

Analysis of Agencies with Revenues Less than $500,000 Best Business Practices

14

Benchmarks

Agency Characteristics Revenue Analysis Acquisition Activity Expense Analysis

20 20 22 24 25 26 32 33 33 42 42 43 45 46 4 7 52 53 53 64 64 66 68 69 70 76 77 77 36 56

Profitability Productivity

Financial Stability Carrier Representation

Technology

Analysis of Agencies with Revenues Between $500,000 and $1,250,000 Best Business Practices

Benchmarks

Agency Characteristics Revenue Analysis Acquisition Activity Expense Analysis

Profitability Productivity

Financial Stability Carrier Representation

Technology

Analysis of Agencies with Revenues Between $1,250,000 and $2,500,000 Best Business Practices

Benchmarks

Agency Characteristics Revenue Analysis Acquisition Activity Expense Analysis

Profitability Productivity

Financial Stability Carrier Representation

Technology