I am currently a P&C producer at a captive agency. I am pondering opening an independent agency, and wanted to know what type of commission rates do independent agents get for P&C. Currently with my captive company we get 12% on new and 10% on renewals for auto. Do independents get more, less,or the same?
I am in a simular situation, it is tough making a living by splitting the commissions with the captive agency owner. From what I have seen the commissions are typically 3%-5% higher than the captive agency that I work for.
I am currently a P&C producer at a captive agency. I am pondering opening an independent agency, and wanted to know what type of commission rates do independent agents get for P&C. Currently with my captive company we get 12% on new and 10% on renewals for auto. Do independents get more, less,or the same?
Its different with each company. But it is usually 20% on home and 15% on auto... What states are you guys in?
Call some reputable p and c companies in your area and see what they say. If you can convince them of your commitment to make them money, you can usually get them to appoint you. Try and get the most commission you can out of them, but make sure the ones you get appointed with have products/rates that people can will buy and can afford.
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Is it legal for a carrier to discriminate on commission payout (i.e., pay one rate to one agency owner, a different rate to a second agency owner, and a third rate to an agent placing business directly)?
I've got a couple P&C agencies that are willing to let me write under them. I wanted to know what direct commissions are so I can compare.
Basically, I'm being offered 10% auto and 12% home from one of the agencies. But all they do is home and auto.
If I go P&C, I would like to offer commercial. Looks like PDX answered the question. -- Thanks.
The agency I work with are licensed in Oregan too. and they pay good commission on commercial as well as Personal lines.Email me moe@BIFSonestop.com for details.
Is it legal for a carrier to discriminate on commission payout (i.e., pay one rate to one agency owner, a different rate to a second agency owner, and a third rate to an agent placing business directly)?
Thanks,
You could research it on the states website: Virginia: Bureau of Insurance's Home Page
I can almost guarantee that its legal though. Insurance companies don't normally flout state laws on purpose.