2009 Best Practices Study

Agencies with Revenues Less than $1,250,000

Profile

Revenues/ Expenses

Financial Stability

Employee Overview

Producer Info

Service Staff Info

Technology

Insurance Carriers

Appendix

Revenue Growth by Source

Average

+25% Profit

+25% Growth

Commercial P&C Renewals 1

1 Renewal Revenues as a % of prior year’s total revenues for this line of business. This figure is impacted by attrition (loss or retention of accounts) and by changes in premium and commission levels. The higher the %, the more favorable the results. 2 New Revenues as a % of prior year’s total revenues for this line of business. The higher the %, the more favorable the results. 3 Acquired Revenues as a % of prior year’s total revenues for this line of business. The % indicates the significance of acquired business. 4 Growth in Revenues from prior year excluding acquired revenues. 5 Growth in Revenues from prior year including acquired revenues.

83.9% 15.0% 0.0% -1.1% -1.1% 71.1% 28.2% 0.0% -0.6% -0.6% 89.3% 10.2% 0.0% -0.5% -0.5%

88.7% 13.9%

81.8% 25.3%

New Business 2

Acquired Revenues 3

0.0% 2.6% 2.6%

0.0% 7.1% 7.1%

Organic Growth 4

Total Growth 5

Bonds

Renewals 1

84.5% 33.9%

65.9% 26.4% 0.0% -7.7% -7.7%

New Business 2

Acquired Revenues 3

0.0%

Organic Growth 4

18.4% 18.4%

Total Growth 5

Personal P&C

Renewals 1

88.9% 11.2%

91.3%

New Business 2

9.2% 0.0% 0.5% 0.5%

Acquired Revenues 3

0.0% 0.1% 0.1%

Organic Growth 4

Total Growth 5

Value Added Services - P&C Renewals 1

* * * * *

* * * * *

* * * * *

New Business 2

Acquired Revenues 3

Organic Growth 4

Total Growth 5

Group L&H

Renewals 1

67.7% 29.0% 0.0% -3.3% -3.3%

44.5% 53.6% 0.0% -1.9% -1.9%

77.5% 20.9% 0.0% -1.6% -1.6%

New Business 2

Acquired Revenues 3

Organic Growth 4

Total Growth 5

Individual L&H

Renewals 1

54.9% 48.6%

24.9% 78.0%

108.1% 15.7%

New Business 2

Acquired Revenues 3

0.0% 3.5% 3.5%

0.0% 2.8% 2.8%

0.0%

Organic Growth 4

23.7% 23.7%

Total Growth 5

*Insufficient Data

4 2009 Best Practices Study | Agencies with Revenues Less than $1,250,000 | Revenues/Expenses