2009 Best Practices Study

Agencies with Revenues Between $1,250,000 and $2,500,000

Profile

Revenues/ Expenses

Financial Stability

Employee Overview

Producer Info

Service Staff Info

Technology

Insurance Carriers

Appendix

Financial Stability

Top 25%

Average

Balance Sheet Current Ratio

1.33:1

1.89:1 27.5%

Tangible Net Worth (% of Net Revenue)

9.1%

Receivables/Payable Ratio

68.2%

5.2%

Aged Receivables

% Receivables Aged Past 60 Days % Receivables Aged Past 90 Days

11.0%

2.8% 2.1%

8.5%

Accounts Receivable

Average

+25% Profit

+25% Growth

Agency Billed vs. Direct Billed by Carrier % of P&C Revenues that are Agency Billed % of P&C Revenues that are Direct Billed

29.1% 63.5%

36.7% 63.3%

31.7% 54.0%

31 2009 Best Practices Study | Agencies with Revenues Between $1,250,000 and $2,500,000 | Financial Stability