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Has anyone taken the time to find out what an auto and/or homeowners policy pays on the average? I'm trying to do my forecasts for a new agency, and don't know if the goals I'm setting for the business plan are unreasonable? The agency would be in Oklahoma, btw.

It will depend on what companies you have. For me the average is 14% new and 13% renewal.

On another note does anyone know of a company that pays 20% new and renewal on auto and home in California?

Thanks, but I was looking for a dollar figure; does a new auto pay $20 or $40? This is simply an average, but I already know my commissions so what I want to know is 15% of what?

For me the average personal lines policy is $1086. per year.

home, auto, or both?

Both.

Thanks Porter!

It sounds like you need to do more investigation regarding rates, premiums, average account size, etc before you start your own agency. How can you do a business plan without even having the experience to know how much premium an average personal auto generates with your carriers and in your territory??

call me simple, but maybe you could check your own auto policy, along with those of others you know who drive 'average' cars, and live in 'average homes' in your area, and ask them what their 'average premium' is.

This type of planning is a waste of time. I can argue that any number you put down is bogus - from average premium to average commission.

It does not pass the straight face test. You're taking advice on key components of your business plan from anonymous sources on the Internet? Average premium means nothing in your own town, never mind taking info from California, West Virginia and god knows where else.

Pull ten files and get their numbers. Figure the average. You still have nothing useful. Pull 100 and you have wasted even more time

How do you attract 300 new clients to your agency over the next 12 months? That's a useful question. The search for the answer is also useful.

Other useful questions:

What can I do to double my current account size?

How do I round accounts?

How do I get more referrals?

How do I improve my retention?

How do I flush out prospects who are using me?

How do I decrease my workload while increasing the value I provide?

How do I attract target clients?

Where do I find great employees?

How do I increase my income while decreasing the time I spend working?

njexpat wrote:call me simple, but maybe you could check your own auto policy, along with those of others you know who drive 'average' cars, and live in 'average homes' in your area, and ask them what their 'average premium' is.

Oh, wow. That would be a great idea, huh? What was I thinking???

If you're gonna be a jerk about answering questions, don't. I don't really have time to sit down and call 500 ppl and ask them these questions. What I was doing was asking other professional agents for their opinion. That's the beauty of a forum like this.

And as I see you have a grand total of six postings, you might learn that most ppl on here are here to help others, not hinder them with sarcasm.

And to "Forum Reader", I'm new to this area, so I don't have any experience down here with rates and policy averages. All I did was post the question, that's all. I've got due diligence running out of my ass.