2008 Best Practices Study
Agencies with Revenues between $10,000,000 and $25,000,000
 
   
 

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 52.5% 53.4% 53.9%
Bonds 2.0% 2.4% 1.4%
Personal P&C 12.6% 18.2% 11.8%
Value Added Services 0.5% 0.2% 0.5%
Contingent/Bonus 9.8% 12.5% 9.6%
Total P&C 77.4% 86.6% 77.2%
Life & Health / Financial
Group Commissions & Fees 16.4% 8.4% 17.3%
Individual Commissions & Fees 1.4% 1.1% 1.5%
Value Added Services 1.0% 0.0% 0.5%
Bonus/Overrides 1.3% 0.4% 1.8%
Total L&H/Financial 20.1% 9.9% 21.1%
Investments 1.8% 2.2% 1.3%
Miscellaneous 0.6% 1.3% 0.4%
Gross Revenues 100.0% 100.0% 100.0%
Less Brokerage Commission Expense 1.3% 1.0% 2.2%
Net Revenues 98.7% 99.0% 97.8%
% of Revenues Derived from:
  Average +25% Profit +25% Growth
Largest Account 3.4% 4.1% 2.5%
High 15.0%    
Low 1.2%    
10 Largest Accounts 13.3% 16.6% 10.6%
High 33.9%    
Low 3.9%    

 

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

Personal Lines 56.1%
Small Commercial Lines 34.1%
Individual Life & Health 31.7%
Group Life & Health 85.4%
Surety/Bonding 51.2%

 

 
     
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