2012 Best Practices Study

Analysis of Agencies with Revenues Between $2,500,000 and $5,000,000

Key Benchmarks Profile Revenues Expenses Profitability Employee Overview Producer Info Staff Service Info Technology Insurance Carriers Appendix

Profile (of Agencies in this Study Group)

A. Average Total Revenues: $3,444,734

B. Population Density of Metropolitan AreasWhere Home Office is Located Average

+25% Profit

+25% Growth

Less than 50,000 50,000 – 250,000 250,000 – 1,000,000 More than 1,000,000 C. Corporate Structure C

24.2% 42.4% 15.2% 18.2%

50.0% 37.5%

25.0% 50.0% 12.5% 12.5%

0.0%

12.5%

25.0% 59.4%

25.0% 75.0%

37.5% 50.0%

S

Partnership

0.0%

0.0% 0.0% 0.0%

0.0%

LLC

15.6%

12.5%

Sole Proprietorship

0.0%

0.0%

Average Number of Agency Locations (Main Offices and Branch Offices)

1.5

1.6

1.4

# of States Offices are Located in

1.1

1.0

1.0

Agency has an ESOP

12.1% 78,.5%

12.5%

0.0% 0.0%

% of Stock Owned by ESOP

100.0%

D. Shareholders Number of Shareholders (excluding ESOP)

3.3 7.0 1.0

3.6

4.0

High

Low

E. Ownership Percentage % Owned by Largest Shareholder

61.9%

62.1%

56.1%

High

100.0%

Low

29.4%

F. Shareholder Age Current Age of Largest Shareholder

54.6

57.4

55.9

G. Parent Corporation

Average

% of Agencies Owned by Another Corporation

7.1%

2012 Best Practices Study

Description of Parent Corporation Financial Institution

“Other” included a financial services company.

50.0%

Agencies with Revenues Between $2,500,000 and $5,000,000

National Broker

0.0%

Other

50.0%

H. Member of Group % of Agencies Belonging to a Franchise, Cluster, Alliance/Network or Aggregator Group

“Groups” included Combined Agents of America and Shared Agency Services.

18.2%

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