Posted: Mon Feb 04, 2008 6:03 am Post subject: How-to on comissions and contracts to keep book of business
1. Do all agencies expect some sort of negotiation with regard to commissions splitting, keeping my book of business when I leave and the length of time i'm committed to staying.
2. Would it be best to keep it to my self that my career goals involve leaving within 2-3 years after i've learned the business.
3. An ideal contract for my goals would be a2 year commitment, 65/35 commission split, and the option to keep my book of business once I leave. It would also include an office, training, possible cash for some marketing and some sort of a draw. Is this unrealistic and is there anything I am over looking?
Hi Jamie D, normally companies derive their own compensation structure to pay out to their captive agents. This pay out structure depends upon the market scenario and may also depend upon your ability to negotiate. _________________ Register Now to have your Insurance queries solved.
My friend, your commission pay out will depend upon your experience as an agent. For a newbie in the business the pay out can be 50/50 till he closes enough business for the company. You can move up in the ladder once you master the skills of doing business. An experience agent may even earn upto 60-80% as commission, depending upon the nature of the policy he/she sells.
A captive agent is likely to earn less as commission than an independent agent. For independent agents the commission works as the incentive to push the policies offered by a particular insurer.
Hope the material helps. Please feel free to shoot your further queries to the forums. This community have a bunch of qualified professionals, they will soon drop in to this thread. Cheers!! _________________ Register Now to have your Insurance queries solved.
Find what you like and what your are best at and go for it. You sound like are asking all the right questions and have some type of plan in place, as stated above, there are a lot of people from the industry here that will come along and give you guidance.
But really don't you think it should be what you enjoy doing? You will do better by doing the part of it that you enjoy.
