2007 Best Practices Study

Agencies with Revenues between $10,000,000 and $25,000,000

Financial Stability—Balance Sheet | Accounts Receivable

Accounts Receivable

	Average	+25% Profit	+25% Growth
Agency Billed vs. Direct Billed by Carrier
% of P&C Revenues that are Agency Billed	52.6%	54.6%	74.9%
% of P&C Revenues that are Direct Billed	44.0%	32.9%	25.1%

Receivable Management Practices
Participants were asked to indicate which practices they utilized and to score the
practices'effectiveness where 1=NOT EFFECTIVE and 5=EXTREMELY EFFECTIVE.

% of Premium charged back to Producers for bad debt write-offs:

89.8%