2006 Best Practices Study

AGENCIES WITH REVENUES BETWEEN $500,000 AND $1,250,000

SERVICE STAFF INFO

2006

A.

Service Related Personnel

+25% Profit

+25% Growth

Average

Total # of Service Related Personnel*

4.4

3.6

5.0

*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

REVENUES/ EXPENSES

Service Structure

+25% Profit

+25% Growth

% of Agencies Having:

Average

Separate/Dedicated Marketing Department

10.0% 0.0% 20.0%

Separate/Dedicated Claims Department

20.0% 0.0% 20.0%

FINANCIAL STABILITY

Assistants for CSRs/Account Managers

15.0% 40.0% 20.0%

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) 11.4%

Number

1.5 3.0 0.5

Administration 4.4%

High Low

Marketing (Placement) 18.5%

TECHNOLOGY

Average Commissions Serviced

$217,653 $423,698

Customer Service 57.0%

Average Pay ($)

$37,601

Claims Processing 8.7%

INSURANCE CARRIERS

Average Pay (as % of Book Serviced)

17.3%

2006 Best Practices Study

29