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Reply to Commission Rates?     
Old 01-27-2010, 01:24 PM   #11
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Commission Rates? Re: Commission Rates?
I think many times we do a disservice to new guys by saying you can get way more money by starting as an independent. The real comp can go up quite a bit with matching FICA, bonuses,...

It can work starting as an indy but I believe the chances are slim when compared to starting in a "career shop" type operation.
Production bonuses, persistency bonuses, pension contributions, 401(k) match, office space, expenses allowance, sometimes health benefits, those can all need to be calculated in as well. If you produce some volume as you go, many of those contracts become very similar to what can be found in the indy market.

Either way you go, indy or career agent route, you need two things starting out: training and structure. Here is what I mean:

Structure: you are a business owner, you need a business model that works. Also, prospecting sucks. If you don't have someone to hold you accountable, especially if you are newer to sales, most will not do the activity necessary to succeed starting out. If you go indy, you won't have the accountability factor, and you also won't have a set business model to just start plowing forward from Day 1.

Training: You can get product training just about anywhere. Sales training can be bought or aquired as well on the indy side (for example, the ILIAA on both accounts). What an organization like the ILIAA can't do for you is pair you up with an experienced mentor to go on joint sales calls with you. I can't over emphasize how important having an experienced, ethical mentor is to teaching you the life insurance business for the first year. Life insurance in general is sold, not bought like health insurance or med supps which is why the success ratio is so much lower (I've sold both). You can't learn the nuances over a webinar.

I'm not saying the current outfit is the best fit, I don't know. It's more about the local culture of an agency than anything else. I would at a minimum check out the local Mass Mutual, New York Life, Guardian, and NML offices. Remember, it's your business, you are interviewing them to find the best fit for you. FYI: all of those will have fairly similar payouts.

Good luck! Indy in life insurance may look the best from the outset, but it's a tough road and it takes a special kind of person to make it. Maybe you are that person, I don't know.

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"We cannot insure success, but we can deserve it." - John Adams

DONE IS BETTER THAN PERFECT
  Reply With Quote to Commission Rates?
Old 01-27-2010, 01:26 PM   #12
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ksigmtsu on Commission Rates?
 
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Commission Rates? Re: Commission Rates?
If you're getting a salary in addition it doesn't sound terrible for a spot to get trained, but I'd be careful what kind of no-compete I signed. It'll take you 3-6 months to figure out how to sell on your own without a good trainer, least that was my experience.
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  Reply With Quote to Commission Rates?
Old 01-27-2010, 01:34 PM   #13
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souldeux on Commission Rates?
 
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Commission Rates? Re: Commission Rates?
Originally Posted by ABC View Post
Where and what carriers are giving 100% comp on WL,UL, and Term without sales quotas?
I write a small amount of Term a year ($20,000). I had to fight with a handful of GA's to get 95%.

I do understand if you choose to be a career agent with a carrier you can get higher comps but I am a broker.
Folks like Assurity and UHL will give you 100% or more on their term products, but the big underwritten guys like West Coast, Pru, Genworth, etc. aren't going to get to that level without requiring production.

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Nick P.: 404.660.1020
Creative Insurance Partners
  Reply With Quote to Commission Rates?
Old 01-27-2010, 01:45 PM   #14
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State: cratos is an Insurance Agent from Georgia
Commission Rates? Re: Commission Rates? cratos is the thread starter for: Commission Rates?

Thank you everyone for the responses.

I don't think I'm in a position to begin as an independent.

Maybe I was confusing percentages quoted on the forum as career model when they were actually independent.

My primary concern is to ensure that the pay structure is comparable to other career agent models. I do like the company and the people I've met in the local office.

The RD told me that he is willing to go on sales calls for as long as I want him to, and he does not take a split on the commission (although I'm sure he gets some sort of override anyway).

I will get pension, 401(k), 7.65% towards taxes, and health/dental benefits. Although there is no salary or expense allowance.
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  Reply With Quote to Commission Rates?
Old 01-27-2010, 01:50 PM   #15
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Commission Rates? Re: Commission Rates?
What part of the state are you in?
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  Reply With Quote to Commission Rates?
Old 01-27-2010, 01:53 PM   #16
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State: cratos is an Insurance Agent from Georgia
Commission Rates? Re: Commission Rates? cratos is the thread starter for: Commission Rates?

Metro-Atlanta
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  Reply With Quote to Commission Rates?
Old 01-27-2010, 02:24 PM   #17
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souldeux on Commission Rates?
 
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Commission Rates? Re: Commission Rates?
Originally Posted by cratos View Post
Metro-Atlanta
Give me a call if you'd like to chat or meet up - I'm downtown.
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  Reply With Quote to Commission Rates?
Old 01-27-2010, 02:56 PM   #18
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Commission Rates? Re: Commission Rates?
Give Nick a call. He's a good friend to people in this business. And he'll buy the beer.
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  Reply With Quote to Commission Rates?
Old 01-27-2010, 03:41 PM   #19
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davidp711 on Commission Rates?
 
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Commission Rates? Re: Commission Rates?
Originally Posted by cratos View Post
There are no leads provided.

The closest thing would be call lists that can be purchased, for 10 cents a name (I believe).
WOW! That is not good at all. I would consider trying to get out of that contract. Are they at least giving you good training? If so maybe stay for a while to get the good training and then branch out and go independent.

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David Powers
  Reply With Quote to Commission Rates?
Old 01-27-2010, 11:09 PM   #20
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State: Benefits Man is an Insurance Agent from Texas
Commission Rates? Re: Commission Rates?
Yeah someone is trying to take you to the cleaners. Definitely shop around.
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  Reply With Quote to Commission Rates?
Reply to Commission Rates? 

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