2009 Best Practices Study

Agencies with Revenues Over $25,000,000

Profile

Revenues/ Expenses

Financial Stability

Employee Overview

Producer Info

Service Staff Info

Technology

Insurance Carriers

Appendix

Expenses (continued)

Average

+25% Profit

+25% Growth

Operating Expenses Occupancy Expenditures

3.7% 0.2% 4.0% 0.4% 0.8% 1.2% 1.3% 0.5% 1.8% 0.8% 0.5% 0.8% 0.7% 0.3% 1.6% 1.1% 0.1% 0.5% 0.3% 1.2% 1.8% 0.2% 0.9% 0.2% 3.0%

3.1% 0.1% 3.2% 0.4% 1.2% 1.6% 1.2% 0.4% 1.6% 0.7% 0.3% 0.8% 0.7% 0.3% 1.0% 1.1% 0.2% 0.3% 0.2% 3.2% 0.4% 0.1% 0.6% 0.3% 1.4%

4.4% 0.3% 4.7% 0.5% 1.1% 1.7% 1.6% 0.5% 2.1% 0.6% 0.4% 0.9% 0.7% 0.4% 1.9% 1.3% 0.1% 0.6% 0.3% 1.1% 0.3% 0.3% 0.5% 0.3% 1.4%

Occupancy Depreciation/Amortization

Total Occupancy

Office Equipment Expenditures Office Equipment Depreciation

Total Office Equipment

IT (Information Technology) IT Depreciation/Amortization

Total IT

Telephone

Postage

Supplies/Printing

Dues/Subscriptions/Contributions

Taxes/Licenses

Insurance

Professional Fees

Bad Debts

Outside Services Education/Training

Miscellaneous

Total Operating

14.8%

15.2%

16.7%

Administrative Expenses Amortization of Intangibles

Officer Life

Interest

Other

Total Administrative

Total Expenses

86.3% 13.7% 17.9%

76.6% 23.4% 26.3%

87.0% 13.0% 15.8%

Pre-Tax Profit (Loss)

EBITDA

Average

+25% Profit

+25% Growth

Growth Over Prior Year Compensation Expense

5.9% 5.3% 7.5% 0.8%

10.4% 10.2% 12.5% -15.8%

12.5% 13.0% 18.1% -11.0%

Selling Expense

Operating Expense

Administrative Expense

108

2009 Best Practices Study | Agencies with Revenues Over $25,000,000 | Revenues/Expenses