Increasing your Agency’s Value

[AgencyEquity]

Agencies that sell for a high premium do so because of the quality of the book. What does a quality book mean? Here are some characterizes of a quality book:

1. Well rounded accounts with a minimum average of 2 policies per account
2. Policies with high liability limits and even more so, accounts with umbrella policies
3. For personal lines, accounts rounded with at least a homeowners policy, if not an umbrella
4. For commercial lines, professional offices risks are at the most stable side, contractors are the least stable
5. Personal Lines accounts with premiums of 2.5k and up
6. Commercial Lines accounts with premiums of 5k and up
7. Agencies that have a scheduled client contact program
8. Agencies that have a up to date management system that can pull a number of different reports about the book of business
What have you done to add value to your agency?