Do Commission Structures Change ?

[squeed]

After your work with a prospect and you convert them into a customer and you sell them on 1 of the 5 companies that you work with. From what I understand you get a nice commission check initially and then a step down commission plan each year after than until you hit a minimum commission that you keep as a residual.

My question is, how often do agents get screwed by the insurance companies, where they decide to stop paying you, or they reduce your commissions etc ...

-S

 

[chp]

none of my carriers screw me. I know up front what my first year commissions are, and they vary with each carrier, as does the second, third, etc. year commissions. It should be cut and dry.

 

[DJM]

you shouldnt be writing business for a carrier if you dont know what you are getting paid....

 

[NPCOACH]

After your work with a prospect and you convert them into a customer and you sell them on 1 of the 5 companies that you work with. From what I understand you get a nice commission check initially and then a step down commission plan each year after than until you hit a minimum commission that you keep as a residual.

My question is, how often do agents get screwed by the insurance companies, where they decide to stop paying you, or they reduce your commissions etc ...

-S

Whatever your contract says is what they will pay you. That being said, companies can and will change compensation on future business. Jackson National is the only company that changed commission schedules with no advance notice (back in 1987 - I still rememeber the case and it cost me $1,800. and a great referral source).

Often companies have a great policy and a great commission and you start writing a bunch of it - then they drop the product or the commissions. Get used to it.

Good luck.

 

[insuranceexec]

Whatever your contract says is what they will pay you. That being said, companies can and will change compensation on future business. Jackson National is the only company that changed commission schedules with no advance notice (back in 1987 - I still rememeber the case and it cost me $1,800. and a great referral source).

Often companies have a great policy and a great commission and you start writing a bunch of it - then they drop the product or the commissions. Get used to it.

Good luck.

Forethought just changed the commission, on their annuities, with 3 days notice. It cost me almost $7,500.00 this week alone.

 

[Todd King]

Forethought just changed the commission, on their annuities, with 3 days notice. It cost me almost $7,500.00 this week alone.

Yeah, but just think...you're still the Annuity King!! That's gotta count for something, eh?

 

[insuranceexec]

Yeah, but just think...you're still the Annuity King!! That's gotta count for something, eh?

$7,500.00 is still a great deal of money. Thanks for the title..............LOL. Have a good evening.

 

[Jocely]

My advice is do not try to do this alone. Being a member of this forum, allows you to be in contact with people that you can contract with that have been in business with insurance companies for years. This is one way of avoiding some companies that are unethical.