2007 Best Practices Study
2007 Best Practices Study
Executive Perspectives
Profile
Revenues/ Expenses
Financial Stability
Employee Overview
Producer Info
Service Staff Info
Technology
Insurance Carriers
Appendix
REGIONAL ANALYSIS Agencies with Revenues UNDER $5,000,000
Geographic Region:
Northeast
Southeast
Midwest
Southwest
West
% of Agencies Located in Each Region
29.4%
27.5%
21.6%
11.8%
9.8%
Net Revenue Growth (Organic)
8.3%
12.6%
11.0%
14.7%
12.0%
Pre-tax Profit
17.3%
19.7%
23.7%
29.0%
26.3%
Pro Forma Pre-tax Profit
27.8%
26.3%
31.1%
36.0%
26.0%
Profitability as % of Net Revenues
Operating Pre-tax Profit
4.8%
9.1%
13.0%
17.8%
19.4%
EBITDA
20.1%
21.2%
26.3%
30.4%
27.7%
Pro Forma EBITDA
30.6%
27.8%
33.8%
37.4%
34.0%
“Rule of 20” Score
20.6
24.0
24.3
31.3
29.5
Revenue per Employee
$130,465
$142,076
$141,868
$180,111
$152,756
Compensation per Employee
$77,310
$84,858
$73,804
$87,707
$81,601
Productivity
Spread per Employee
$53,155
$57,218
$68,064
$92,404
$71,155
Commercial P&C Producers
$126,778
$117,558
$84,695
$143,858
$96,833
Personal P&C Producers
$59,301
$48,875
$49,537
*
*
Pay Levels for Producer
Life & Health Producers
$184,403
$104,566
$82,892
$135,289
$68,426
Multiline Producers
$82,954
$96,290
$97,094
$187,312
$95,000
Commercial P&C CSRs
$46,746
$42,174
$35,496
$40,854
$50,750
Personal P&C CSRs
$36,333
$33,479
$28,276
$30,055
$39,463
Pay Levels for CSRs
Life & Health CSRs
$37,690
$26,519
$22,558
*
$38,000
Multiline CSRs
*
$26,816
$34,842
*
*
PL - National
3.2
3.6
2.5
4.3
5.0
PL - Regional
6.2
2.9
5.4
4.3
3.5
Number of Carriers
CL - National
4.1
4.5
5.6
13.5
5.0
CL - Regional
7.2
5.8
8.2
14.5
3.8
EB - All
17.0
11.7
18.8
12.0
16.1
Total PL Comms Placed
14.6%
29.6%
*
*
*
Service Center Use
Total CL Comms Placed
11.4%
2.1%
8.1%
3.6%
5.5%
% of Agencies Making an Acquisition in the last 12 Mths
3.3%
0.0%
9.1%
0.0%
10.0%
*Insufficient Data
177
2007 Best Practices Study | Appendix
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