Is 60% Commission a Good Split?? New Agent Here!

Jan 15, 2016

  1. xomarnie
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    xomarnie New Member

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    I recently got my license in California and had already joined a company prior to getting my license.

    I'm going to be selling term insurance to begin with. My commission split is 60% to me. And I've read that the average commission paid on term policies is over 100%. Is this true?

    Am I with a company that is taking half of the commission for doing nothing!??

    I even bought the leads from the company (70 old, recycled leads for just under $350. The A leads start at $27 each).

    Advice, comments, thoughts and opinions?? yes, please!
     
    xomarnie, Jan 15, 2016
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  2. John Galt
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    John Galt Guru

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    No that deal sucks, yes you are getting screwed, tough love coming at you cause I care. Start looking around elsewhere, much higher comp available and I would bet better leads too.
     
  3. AgentStone
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    AgentStone Super Genius

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    I did just that day one as a new agent. After a few months I realized that not only was I being scammed, the clients were too...the product was sub-par.

    I left to join a top life insurance company. Great training, fair commission split and something I could be proud to sell.

    Now that you are in the industry, take the time to do your due diligence. You owe it to yourself if you plan to make it a career.

    :idea: CAREER "an occupation undertaken for a significant period of a person's life and with opportunities for progress"
     
  4. DHK
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    DHK "YOU CAN'T HANDLE THE TRUTH!"

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    If you had FREE quality leads, a comprehensive benefits package, and they provided you with an office for making calls & meeting with clients... THEN it *might* be a good deal.
     
    DHK, Jan 15, 2016
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  5. Newby
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    Newby Guru

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    If you want to make a living selling term you need to hook up with an agency that kills it with term. Get the right leads, training and support and better commission levels will come with it too. JRoot on this forum is a great one that I'm familiar with. Keep in mind that most term is sold by phone or to employer groups.

    Sounds like you were recruited from a Craigs List ad to a cheezy organization.
     
    Newby, Jan 15, 2016
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  6. Glen Shelton
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    Glen Shelton Guru

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    Sounds like Asurea?
     
  7. xomarnie
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    xomarnie New Member

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    A BIG thank you to all who replied. All excellent points that you make.

    No- it is not Asurea. Yes- It was from a cheezy Craigslist reply!

    So to be more specific- I'm working under an IMO. And, No DHK- this IMO offers none of the perks you mentioned. I meet with the clients in their home and work from my home office.

    I start off as a new agent at 60% but can move up the "commission ladder" as I (or anyone whom I recruit) write more business. The way this company is structured is like a MLM pyramid. I'm "under" the woman who recruited me. And then there are 3 others in between her and the owner. The way I understand it, is the remaining portion of the commission- that doesn't go to me- gets distributed to the people "above" me.

    Their main sales pitch to new agents is that I too can recruit new agents, and thus will make an override on their production, which will also count toward my production numbers and allow me to move up the commission ladder.

    So, where I'm at now -- and what has been bothering me over the last day or two -- and which is something AgentStone also touched on-- is am I selling a good product? Am I getting these families the best deal out there? Being new, I don't know. But I have a feeling that I am not. I would at least need to compare rates across multiple carriers in order to feel good about what I'm offering. Because at the end of the day, what's most important to me is doing the right thing by being able to get clients the a great product at a great rate.

    I'll take your advice Newbie and see what I can learn from JRoot.

    ... Really appreciate all of your comments guys!
     
    xomarnie, Jan 16, 2016
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  8. Foreverfury
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    Foreverfury Expert

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    60% is about half of where you should be.
     
  9. xomarnie
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    xomarnie New Member

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    :sad:

    Thanks for letting me know.
     
    xomarnie, Jan 16, 2016
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