Understanding Net Gain/Loss

Net Gain/Loss is arguably the single most important metric for agency health. It tells you whether your book of business is growing or shrinking — the ultimate measure of sustainability.

What It Means

Net Gain/Loss = new policies added minus policies lost (cancellations, non-renewals, carrier moves). A positive number means your agency is growing. A negative number means you're shrinking.

Positive Net Gain

Your agency is growing — you're adding more policies than you're losing. This is where you want to be. The higher the positive number, the faster your book is expanding. A net gain of +15 means you added 15 more policies than you lost during that period.

Negative Net Gain (Net Loss)

You're shrinking. Even if the team is writing new business every day, more policies are leaving on the back end through cancellations and non-renewals. This requires immediate attention — you can't out-sell a retention problem.

Critical. A high sales count doesn't help if net gain is negative. Retention is often more profitable than new business — it costs less to keep a customer than to acquire one. If you see negative net gain, prioritize retention conversations before increasing sales activity.

The Relationship to Sales

A team can write 50 new policies in a month, but if 60 policies cancel or don't renew, the net result is −10. The sales effort is essentially wasted without good retention. Think of it like filling a bathtub with the drain open — you need to plug the drain (retention) while also running the faucet (new sales).

Tracking in AgencyIQ

Net gain/loss is recorded in the Activity Log and displayed on the Dashboard product cards. Enter it monthly for each product line (Auto and Fire are tracked separately). The dashboard shows YTD totals with progress toward your annual net-gain goal.

Last updated: 2026-04-22