How to Calculate Commission in Term Life?

insguy2000

New Member
2
Hi guys,

How do you calculate the amount of commission in term life? I can get a street level contract, 100%. By the way, can anyone offer me higher? Who offers the best term life program you think?

I have a 2M case followed by a couple 1M cases all wanting term life.
 
Hi guys,

How do you calculate the amount of commission in term life? I can get a street level contract, 100%. By the way, can anyone offer me higher? Who offers the best term life program you think?

I have a 2M case followed by a couple 1M cases all wanting term life.

X dollars times 100% = X dollars but they may not pay commission on the policy fee which is usually $50-$100.
 
Hi guys,

How do you calculate the amount of commission in term life? I can get a street level contract, 100%. By the way, can anyone offer me higher? Who offers the best term life program you think?

I have a 2M case followed by a couple 1M cases all wanting term life.

Take the mode of payment and subtract any non-commissionable policy fee (as XRAC stated this is usually in the $50-$100 range). Now multiply that mode of payment amount by the commission percentage. You will get this amount until the premiums have been paid for 12 months.
 
Take the mode of payment and subtract any non-commissionable policy fee (as XRAC stated this is usually in the $50-$100 range). Now multiply that mode of payment amount by the commission percentage. You will get this amount until the premiums have been paid for 12 months.

Don't most companies pay you on the annualized premium regardless of the premium mode? Minus policy fees of course.
 
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