Tool
Book of business value calculator
Move the sliders to what your book actually looks like. The valuation range is what a buyer would plausibly pay. The two numbers under it are what the book is quietly losing while you own it.
Your book
Gross annual commission, all lines.
Share of commission from commercial lines. The rest is treated as personal lines.
Clients retained year over year. Industry average sits around 90 percent.
Share of households carrying exactly one policy. Cross-sell lives here.
Estimated book value
$1.0M – $1.6M
2.0× – 3.1× annual commission, adjusted for mix and retention
Lapse cost per year
$40,000
Commission walking out the door annually at this retention rate. Each lost client also removes the multiple a buyer would have paid for it.
Unwritten cross-sell
$135,000
Estimated annual premium sitting in single-line households: a realistic capture share of the policies those households plausibly should carry.
Method: personal lines books trade near 1.5–2.5× annual commission, commercial books near 2–3.5×; the calculator blends the two by your mix and narrows the range for retention above or below 90 percent. Lapse cost is commission × (1 − retention). Cross-sell estimates a $600 average premium on 45 percent capture of single-line households at a 3.5 policy-per-household assumption. These are planning ranges, not an appraisal. Read how books are actually valued.