2008 Best Practices Study
Agencies with Revenues between $1,250,000 and $2,500,000
 
   
 

Rev. % By Source/Future Rev. Sources  | Aquisition Info  |  Rev. Growth By Source:  P&C  L&H  Total 

Revenues
(% by Source) Average +25% Profit +25% Growth
Property & Casualty
Commercial Comm. & Fees 47.8% 47.4% 56.1%
Bonds 1.7% 4.0% 4.7%
Personal P&C 28.0% 27.7% 22.0%
Value Added Services 0.2% 0.0% 0.0%
Contingent/Bonus 10.6% 12.0% 10.7%
Total P&C 88.4% 91.2% 93.6%
Life & Health / Financial
Group Commissions & Fees 6.3% 4.5% 2.7%
Individual Commissions & Fees 2.8% 1.2% 1.0%
Value Added Services 0.5% 1.4% 0.0%
Bonus/Overrides 0.4% 0.0% 0.0%
Total L&H/Financial 10.0% 7.1% 3.7%
Investments 1.3% 1.6% 1.8%
Miscellaneous 0.4% 0.1% 0.9%
Gross Revenues 100.0% 100.0% 100.0%
Less Brokerage Commission Expense 1.2% 0.0% 1.1%
Net Revenues 98.8% 100.0% 98.9%
% of Revenues Derived from:
  Average +25% Profit +25% Growth
Largest Account 4.4% 3.3% 4.5%
High 12.2%    
Low 1.1%    
10 Largest Accounts 15.1% 13.5% 20.2%
High 32.8%    
Low 3.0%    

 

Future Revenue Sources
% of Agencies Considering Line of Business as Very Important:

Personal Lines 77.4%
Small Commercial Lines 71.0%
Individual Life & Health 19.4%
Group Life & Health 45.2%
Surety/Bonding 25.8%

 

 
     
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