Not a question of canceling. Even if they cancel after the 12th month, you will keep you commission. The only time you would be charged back is if a claim were contested and the policy was rescinded by the company. Then they refund 100% of the premiums paid and charge you the commission they paid you.
Commission Chargebacks - What Should I Do?
- Thread starter Insurance2203
- Start date
Right I understand that because of a return on premium rider. I am saying After the first year and the policy then renews. They still have a premium for the new. So would you get the months of advance for the new year, then if they cancel the policy, then you would get chargebacked.
OVERALL- it seems to me like there is 2 ways to handle chargebacks. Either ask to be paid just by "earned" commission. Or if you can't do that. Figure out what 1 month of commission would be equal to if you are getting "unearned advanced", Then put the different is some seperate bank account, and literally just transfer money over a month at time.
I can see how Agents get screwed by this, is they get a huge check, then go out a buy a car. then have chargebacks, and now how to come up with the money they just spent, or get a lawyer and try to fight it, which probably won't work.
I can see how Agents get screwed by this, is they get a huge check, then go out a buy a car. then have chargebacks, and now how to come up with the money they just spent, or get a lawyer and try to fight it, which probably won't work.
ROP? You are totally confused.. ROP has nothing to do with your advance. As for when a policy enters into the second year, you do not get another advance if that is what you are asking..
Thank you.. that was what I was asking.
SO for you see a carrier like Lincoln Heritage promote same day advances, so you would get 6-9 months advanced to you that day you write the policy. I can see that cause big issues.
Easiest way to think about it is you are paid on any commission earned. Anything unearned is liable for chargeback. So client pays 6 months of 9 month policy then 3 months subject to chargeback. Rescissions refund all money so nothing was earned thus a full chargeback.
- 26,132
Can you give more detail please. So far you are just saying you were ripped off but not how. As someone else posted name the company and how they ripped you off.
Agents do not get paid for their time they get paid for results / premium. As it should be. You hunt and kill, you eat. You do not hunt and kill? Better marry a hunter.
Meghan8712
New Member
- 12
Wow. That's not sexist or anything. Lol
- 26,132
? Which part was even remotely sexist?
- 15,041
You're ignorance is showing. And sadly you will draw the wrong conclusion from my response.
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