Commission Cuts

[AZDave]

I heard Allstate captives are taking another cut in commissions. They are cutting by 1/2 %, from 9 down to 8.5%, to - get this- pay for the rising cost of Reinsurance! I say, not fair!

Plus, Allstate will be taking an addtional rake of 1.5% of every home premium before paying comm's and 1% of every auto policy. These easily amount to a 6% paycut to the Agent. I wonder, did managements salary's get cut the same?

Captive Allstate agents are not in good hands! Indy's looking for talent may want to reach out.

Any other Carriers taking cuts?

 

[Markthebroker]

I heard Allstate captives are taking another cut in commissions. They are cutting by 1/2 %, from 9 down to 8.5%, to - get this- pay for the rising cost of Reinsurance! I say, not fair!

Plus, Allstate will be taking an addtional rake of 1.5% of every home premium before paying comm's and 1% of every auto policy. These easily amount to a 6% paycut to the Agent. I wonder, did managements salary's get cut the same?

Captive Allstate agents are not in good hands! Indy's looking for talent may want to reach out.

Any other Carriers taking cuts?

I heard Allstate was going down from 9% to 7% here in Ca. And they are non renewing all commercial lines.

Think of it this way. Which would you rather - get kicked in the groin, or punched in the nose? Both sound pretty painful, right? Well, Allstate agency owners are getting both.

I'm exclusively commercial lines, and I haven't seen any cuts on my end, but I've heard there are other cuts in personal lines.

 

[NY independent]

Travelers already notified us that PAP/HO/PUP commissions are going from 12% to 9% as of January. Don't forget about the 2% commission Kemper was paying last year. My gut says we are all in for a very bumpy ride on the commission side come January for both PL and CL. Hawaii fires will hurt big time too. My PE friends are telling me they are pushing a fee based model within the next few years and getting away from commissions completely.

 

[Markthebroker]

My gut says we are all in for a very bumpy ride on the commission side come January for both PL and CL.

What commercial carriers have cut commissions so far?

 

[Markthebroker]

My PE friends are telling me they are pushing a fee based model within the next few years and getting away from commissions completely.

What does PE stand for?

Private Equity?

Pompous Electricians? Persnickety Equestrians? Lolz.

 

[myfakename]

I talked to a Allstate agent (back about April/May) that had a 10m book. He said he wouldn't be able to service his debt/pay employees at the "new and improved" commission. He was looking for a way out.

 

[Markthebroker]

I talked to a Allstate agent (back about April/May) that had a 10m book. He said he wouldn't be able to service his debt/pay employees at the "new and improved" commission. He was looking for a way out.

He's not in good hands, lol.

 

[Al3x Lee]

If any of my appointed carriers cut my commission by as much as 0.000000000000000001%, I'm leaving the industry

 

[Newby]

The one year that I worked for SCI Service Corporation/ Dignity Memorial they cut commissions nearly 50% and told us about it on the 20th of the month effective back to the 1st. That was all I needed to become their competitor.

 

[Markthebroker]

If any of my appointed carriers cut my commission by as much as 0.000000000000000001%, I'm leaving the industry

Haven't you seen a cut in your profit sharing bonuses due to the claims?

In that case, you can go ahead and BOR your accounts over to me, and leave me your DeLorean, thanks.