2008 Best Practices Study
Agencies with Revenues over $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 56.0% 47.7% 63.7%
Bonds 3.4% 2.0% 4.6%
Personal P&C 10.9% 23.5% 6.7%
Value Added Services 1.4% 0.1% 1.5%
Contingent/Bonus 7.1% 8.6% 6.2%
Total P&C 78.8% 81.8% 82.7%
Life & Health / Financial
Group Commissions & Fees 15.8% 13.4% 11.9%
Individual Commissions & Fees 0.8% 0.8% 0.9%
Value Added Services 0.5% 0.0% 0.2%
Bonus/Overrides 0.5% 0.4% 0.5%
Total L&H/Financial 17.7% 14.6% 13.6%
Investments 2.5% 2.7% 3.2%
Miscellaneous 1.0% 0.9% 0.6%
Gross Revenues 100.0% 100.0% 100.0%
Less Brokerage Commission Expense 3.8% 2.3% 4.8%
Net Revenues 96.2% 97.7% 95.2%
% of Revenues Derived from:
  Average +25% Profit +25% Growth
Largest Account 2.4% 2.2% 2.8%
High 4.5%    
Low 1.0%    
10 Largest Accounts 9.1% 8.5% 9.2%
High 18.5%    
Low 4.1%    

 

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

Personal Lines 56.0%
Small Commercial Lines 44.0%
Individual Life & Health 8.0%
Group Life & Health 92.0%
Surety/Bonding 80.0%

 

 
     
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