Glossary
Renewal Retention
The share of expiring policies or premium an agency keeps at renewal, the single clearest measure of book health.
Retention can be measured by policy count or by premium, and the two can diverge sharply — losing a handful of large commercial accounts can leave policy retention looking healthy while premium retention collapses. Serious agencies track both.
Retention compounds. A book retaining ninety percent loses a tenth of itself annually and must write that much just to stand still, which is why small retention improvements move agency valuations more than equivalent new-business gains.
See also
- Non-Renewal — A carrier's decision not to offer renewal terms when a policy expires, ending the relationship at the end of the current…
- Book of Business — The complete set of policies and clients an agency or individual producer services, and the recurring commission they ge…
- Expiration Date — The date a policy's coverage ends unless it is renewed, extended, or replaced.