Anyone signed up with more than one IMO? Is this common?

[WinoBlues]

Well... FU too!

.
Thanks, and I am flattered and all, but that's a nah for me.
Hommie, don't play that.

 

[goillini52]

Most top producers only have a single FMO because the FMO makes them sign an exclusive. The average number of FMOs for an agent to be appointed with is six. Most FMOs DO care if you are appointed with other FMOs that sell the same products that they sell. This is because they want to increase their sales, in order to qualify for production bonuses from the carriers. That said, some FMOs have top contracts with some companies, and not others. So, agents may be inclined to use more than one FMO. Good luck!

Exclusive = Captive.

Which FMO are you with?

 

[Tahoe Ray]

Exclusive = Captive.

Which FMO are you with?

Sheryl is an indexed product expert. I would be surprised if she's with a FMO.

 

[rmhaire]

Sheryl is an indexed product expert. I would be surprised if she's with a FMO.

She with you?

 

[Tahoe Ray]

She with you?

Haha...no.

 

[DHK]

Sheryl is CEO of Wink Intelligence:
[EXTERNAL LINK] - Wink, Inc. Life Insurance & Annuity Intelligence

Also she was recently appointed to the Risk Management Advisory Council for The American College of Financial Services.

 

[Diana2024]

Assigning commissions means you are not paid by the companies direct. They pay your IMO and then the IMO is supposed to pay you.

Don't do that.

Okay, so one IMO I've been communicating with and trying to decide if I want to go with them has told me that 70% of the commission comes directly from the carrier right away and then the IMO pays the remaining 30% to me within 2-3 weeks. So it sounds like I would be assigning part of my commission to the IMO, is that correct?

Here is the response I received from this IMO when I asked what the commissions are: "Basic rule of thumb… 85% 10 year term, 90-95% 15 year term, 100-105% on 20 and 30 year term. UL and IUL is in the 90-100% range based on carrier and product selection. Yes, you get a bulk from the insurance carrier and an override from us to get you to these gross numbers."

 

[Diana2024]

Most top producers only have a single FMO because the FMO makes them sign an exclusive. The average number of FMOs for an agent to be appointed with is six. Most FMOs DO care if you are appointed with other FMOs that sell the same products that they sell. This is because they want to increase their sales, in order to qualify for production bonuses from the carriers. That said, some FMOs have top contracts with some companies, and not others. So, agents may be inclined to use more than one FMO. Good luck!

Thank you for that explanation. That was helpful.

 

[Diana2024]

It never hurts to message him and find out. He's a good guy and I suspect he'll work with you.

I have another friend who I put my annuity business through. After a rather disturbing call answering this guy's questions about "infinite banking" and the commissions, that's when he put on his website minimum production requirements before contracting with him. It was to deter people who would otherwise truly waste his time OR put him on the hook for potential chargebacks due to their inexperience. Whenever I've recommended a new agent work with him, he always would.

Pretty sure Todd will work with you, but, that's his decision.

Thank you. I'll reach out to Todd.

 

[titeye]

Okay, so one IMO I've been communicating with and trying to decide if I want to go with them has told me that 70% of the commission comes directly from the carrier right away and then the IMO pays the remaining 30% to me within 2-3 weeks. So it sounds like I would be assigning part of my commission to the IMO, is that correct?

Here is the response I received from this IMO when I asked what the commissions are: "Basic rule of thumb… 85% 10 year term, 90-95% 15 year term, 100-105% on 20 and 30 year term. UL and IUL is in the 90-100% range based on carrier and product selection. Yes, you get a bulk from the insurance carrier and an override from us to get you to these gross numbers."

The question I think you really want to ask is, "what is each IMO bringing to the table?"
Most of them do nothing more than act as a middleman between you and each carrier. Unfortunately, an agent cannot contract with most companies without this 3rd party. Consequently, they get paid off of every single policy you submit while you are under them. That is the reason behind them frowning upon you having multiple IMO relationships.
If you don't write, they don't get paid off of you. That makes you the boss. Interview them like you would anyone else you would consider employing. They are a dime a dozen, until you find one that understands it must compete continuously for your business.

Unfortunately, most of them are private owned. This means their financial records are not public information. You have no way of verifying whether they are solvent or not. I lost one of my appointments because I did not do my due diligence. The IMO lost their license and went out of business.