Commissions

[GeminiGroup]

It's certainly reasonable. Many companies have policies where you have to get approval from the company if you have another job, regardless of the industry. If they're willing to pay a salary, they can set the guidelines for what they expect and this is well within reason.



In this job market you think they won't just find another employee?



We tend to put more emphasis on what we're giving up than what we'd gain. In the long run the benefits of this job alone could be worth as much as his renewals. I really don't mean to be rude here, but if they're only $13k at this point then it seems to indicate that this isn't a career he's going to be able to survive in. There is no shame in it, most people with a w2 job make more than most insurance agents. Many people with w2 jobs enjoy a steady income with raises, benefits and promotions. Yes, being in sales and doing your own thing is exciting and the upside potential on the commissions is exciting, but it's not for everyone. It amazes me how many people want to quite their $50k/year jobs to come sell insurance because they think they'll hit it big.

I couldn't agree more, this has to be one of the most insightful and honest post I've read on this forum.

Great job, Josh....I second every word of this sage advice.

 

[somarco]

I had to start over a couple of times so the renewals are really from about two years.

$13k after 2 years isn't much either.

I have also been a top seller nationwide all last year with Go Health, but the pay with health insurance is marginal and I am not all about padding my pockets with multiple policies per client. I tried it but they usually keep the health insurance (which is what they wanted to begin with) and drop the critical illness plans.

Ancillary plans don't have much "stick" to them. Most of those products are good for the agents wallet, at least until charge backs roll in, but don't do much for the policyholder.

You probably need to get an agency license (contact the DOI) and then do an AOR change with the carriers.

This is not all rosy.

Aetna will recognize AOR but commissions stay with original agent.

BX allows AOR but commission is cut in half to the new agent.

Assurant & Humana allow AOR but only after the FYC has been paid to the writing agent.

Cigna does not recognize AOR. Either that, or they do like Aetna. Can't recall which, but I did ask about a year ago and decided not to pursue an AOR on a prospect.

Above applies to IFP, not group or other lines.

 

[Guest]

I appreciate it. I elected not to take the job because of Geico's element of control and from recommendations of other current and former employees there that we know. Instead, I have gotten back into P&C (I kept my license active as I took a break from it for 5 years) via superior access. I can write commercial and personal business and know several friends who own used car dealerships and other small businesses that I can network with.

 

[cds251]

Well that's good.

But for future reference, you might want to make your wife part of your downline etc so that if something else like this came up you can easily transfer the biz.

I didn't have to do ANYTHING special for my wife to assign her renewals to me. I wasn't even direct to the company's either..........wrote a letter, faxed it in and hey presto, renewals were now part of my statements. It was as simple as that.