Am I Getting Screwed Through Commission?

[DHK]

Mark Rosenthal offers contracts with annualized commissions with Assurity.

Rosenthal Financial Services, LLC.

If you're in a PGA state, and can prove production history of over $35,000 in commissionable premium, you could probably get a contract with Ohio National at Level 5... which would offer annualized commissions.

 

[scagnt83]

This thread is just making me more and more frustrated.

He literally des nothing for my life business. I hunt it myself by prospecting.

So what do you suggest? Go up to him and complain? Tell him he's out of touch?

I've already brought it up and was dismissed.

First read your contract (assuming you have a written one with him) and double check and see if you are required to run all business through him.

If you are not then you can just get e&o and contract with an IMO.

If you are captive to the local agency your with then you have some decisions to make. Just think it through and dont be hasty.


If the majority of your biz is HI, then the most important question is "what does he do for your HI?".
If him and his agency are an important factor in you closing HI cases then you probably need to stick with your current set up for now. If not then there is not much reason to stay if you can afford the overhead yourself for an office (assuming you want an office and dont work from home.... which considering your other thread I highly suggest you do not work from home).


If you dont like your current set up then work your way out of it. Create a long term exit strategy to go indy if that is what you want long term.

 

[trustandadvice]

Yes and no.

Yes if you are finding all of the life leads outside of the other business lines.

No if you are getting your leads through the other business lines and they are in effect 'prospecting' for you. If that is the case I would stay with it. Choose one or two carriers to work with and take somewhat of a cookie cutter approach. If those life sales are coming to you, versus your beating the bushes, stay with it and build your business and contact list.

Keep a database that is yours (use salesforce, which can be run off of a smart phone - and if your smart phone is a company smart phone buy a second one) and keep every stich of contact information data and notes. You can still use their contact management system. At some point you can go independent and then you have all of your contacts and information.

Keep scanned copies of everything in a secure spot and keep all of the paper records with your GA. If you ever leave just leave on good terms and then keep on doing what you do best.

 

[LottieGarza]

I don't agree with it. There is no right to him to take half of your commission. If you have completed your target, he will already get all the profit of it. You are the only owner of your commissions.

 

[trustandadvice]

Sign up with CRUMP and use your own infrastructure (phone, laptop, office) for the life business. Do it from home. Keep it separate from your work environment.

 

[DHK]

And hope there isn't someone with your current agency that will check on your license and company appointments.

 

[scagnt83]

What all of the recent advice is leaving out is the fact that this guy is paying to house the OP in a nice office. And I am guessing he probably throws in supplies and a secretary to answer the phone (possibly even help with light paperwork?).

Then there is the fact that he is paying the OPs E&O insurance.

All of the above combined could easily add up to $1k per month. So assuming low production, that is certainly a fair contract.
What is unfair is not having him on an increasing grid as his production rises.


Also that little thing called a contract that he signed....
If the contract says he is ok to do outside biz then go for it. If not, do not violate the contract, not a good idea at all.

 

[rockyfields]

You will most likely not be able to contract directly with most brokerage life carriers as they require business be submitted through the BGAs who serve as a combination front door and filter for them.

However, Atlanta has a number of great BGAs a few have been around for over 30 years. I would avoid doing business with a newer one because the learning curve in doing business with 30 plus carriers is a pretty steep one.