KPIs for Insurance Agencies and Brokers
These are the KPIs an insurance agency or broker tracks for new business, renewals and the book of policies. Retention drives most of the value of an agency.
The KPIs to track
Policy retention rate
Policies renewed divided by policies up for renewal in the period.
Quote-to-bind ratio
Quotes that became policies divided by quotes issued.
New business premium
The total premium written on policies new to the agency in a period.
Policies per customer
Total active policies divided by the number of customers, a measure of cross-selling.
Premium growth
The percentage change in total written premium compared with the previous period.
Loss ratio
Claims paid divided by premium earned, used by insurers and monitored by agencies on the policies they place.
Customer retention rate is the percentage of customers you keep over a period.
Formula and SQL query on the Customer Retention Rate page.
Lead conversion rate is the share of leads that become customers or qualified opportunities within a defined window.
Formula and SQL query on the Lead Conversion Rate page.
Where the data usually lives
An agency management system, insurer portals and statements, the CRM and the accounting system.
Measurement mistakes to avoid
- Written premium and earned premium are different; state which one a figure uses.
- Mid-term adjustments and cancellations change premium after the sale.
- Retention should be measured on a consistent renewal cohort, not on all active policies.
Questions to ask your data
You can type these as plain questions. SchemaChat turns each one into SQL against your connected database or uploaded file, runs it, and shows the SQL and the figures it used so you can check the answer before you share it. Check that the result matches how your business defines each KPI.
- What is our renewal retention rate by product line?
- How many quotes turned into policies last month?
- Which customers have only one policy with us?
- How did new business premium change compared with last year?