Vilfredo Pareto, an Italian economist, “discovered” the principle behind the 80/20 rule in 1897. He was talking about the fact that 80% of the land was owned by 20% of the population. This principle has held true that in most cases, 20% of the input creates 80% of the results. In reviewing hundreds of books of business over the past 30 years I am a firm believer that this concept is very true in the insurance agency world. Even in the arena of small accounts, the number is typically no more than 30% of the clients delivering 70% of the revenue.

What is your agency doing to make sure they keep the top 20% of your clients? What are your producers doing? And how do you effectively manage the remainder of your book without alienating a large percentage of the population that cannot contribute to the top part of your book?

Let’s spend some time talking about the efficient management of your client base, and let’s spend time talking about how your producers improve their quality of life by focusing on growing the top 20% of their client base. The team at Endurance has been doing this for more than 30 years.