About This Tool
This calculator helps you determine the profitability of RFQ submissions by analyzing key financial metrics.
How It Works
- Policy Amount: The total coverage amount of the policy
- Margin: The percentage margin applied to the policy amount
- Duration: The length of the policy in years
- Flat Cost: The fixed costs associated with the policy
Calculation Method
- Gross Revenue = (Policy Amount × Margin) × Duration
- Net Profit = Gross Revenue - Flat Cost
- Profitability = (Net Profit / Policy Amount) × 100%
Tips
- Enter all values as positive numbers
- Margin should be entered as a percentage (e.g., 20 for 20%)
- Duration can include decimal values (e.g., 1.5 for 18 months)
- Results are automatically formatted in currency and percentage