2007 Best Practices Study
Agencies with Revenues over $25,000,000
 
   
 

Rev. % By Source  |  Services/Other Products Provided/Aquisition Info  |  Rev. Growth By Source:  P&C  L&H  Total  | Future Rev. Growth Strategies

Revenues
Services/Other Products Provided (% of Agencies Providing)
  Average +25% Profit +25% Growth
Loss Control/Engineering 95.7% 80.0% 100.0%
Worker's Comp Claims Adjusting/Admin (TPA) 47.8% 20.0% 83.3%
Group Health Ins Claims Adjusting/Admin (TPA) 34.8% 20.0% 66.7%
Self Insurance Programs 73.9% 80.0% 83.3%
Risk Management Consulting 87.0% 80.0% 83.3%
Premium Financing (in-house vs. 3rd party) 34.8% 20.0% 50.0%
Pension/Profit Sharing/401K 69.6% 60.0% 83.3%
Human Resource Consulting 30.4% 20.0% 50.0%
Employee Leasing Products & Services (PEOs) 4.3% 0.0% 0.0%
Investment Products (Securities, Stocks) 39.1% 60.0% 50.0%
Other* 17.4% 20.0% 0.0%
Acquired Revenues
  % of Agencies Acquiring Average Commissions Acquired % of
Net Revenues
Acquisitions Made in Last 12 Months 52.0% $2,479,402 4.3%

 

What the Typical Transactions Looked Like
Revenues Acquired per Transaction
Average $1,400,764
High $7,000,000
Low $41,105
Multiples of Revenue Paid
Average 1.43X
High 2.00X
Low 1.00X

 

 
     
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