2012 Best Practices Study

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

Revenue by Account Size (as measured by Comm. & Fees – not premium)

Key Benchmarks Profile

Average

+25% Profit

+25% Growth

Commercial P&C Total Commissions & Fees in Book

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

$2,197,558

$2,304,794

$1,892,187

Greater than $25,000 % of Book

31.7%

25.5%

37.8%

# of Accounts Total Revenue

12.6

12.1

15.4

$718,237 $57,091

$672,864 $55,412

$816,358 $52,912

Revenue per Account

Between $10,000 and $25,000 % of Book

17.7%

17.6%

16.2%

# of Accounts Total Revenue

27.4

31.5

21.5

$389,428 $14,226

$405,470 $12,872

$305,997 $14,232

Revenue per Account

Between $5,000 and $10,000 % of Book

14.9%

15.9%

13.9%

# of Accounts Total Revenue

46.9

55.3

35.4

$326,395

$365,351

$263,534

Revenue per Account

$6,954

$6,613

$7,450

Less than $5,000

% of Book

35.8%

41.0%

32.2%

# of Accounts Total Revenue

1,549.0

3,166.6

2,289.8

$785,942

$945,216

$608,343

Revenue per Account

$507

$298

$266

(as measured by number of lives) Group L&H/Financial Total Commissions & Fees in Book

Average

+25% Profit

+25% Growth

$470,295

$254,307

$478,422

Over 100 Lives

% of Book

31.4%

15.1%

17.7%

# of Accounts Total Revenue

4.4

1.4

4.8

$177,451 $40,330

$53,586 $38,276

$127,111 $26,760

Revenue per Account

Between 50-100 Lives % of Book

18.1%

19.8%

25.8%

# of Accounts Total Revenue

7.6

3.0

10.4

$113,204 $14,874

$88,169 $29,390

$148,120 $14,242

Revenue per Account

Between 25-50 Lives % of Book

2012 Best Practices Study

15.9%

11.0%

16.3%

# of Accounts Total Revenue

13.3

5.5

15.8

$89,876 $6,732

$32,518 $5,912

$93,805 $5,937

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

Revenue per Account

Under 25 Lives

% of Book

34.6%

54.2%

40.1%

# of Accounts Total Revenue

151.5

81.6

230.2

$169,689

$137,777

$192,078

54

Revenue per Account

$1,120

$1,689

$835

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