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Old 07-07-2017, 11:32 PM   #1
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Newbie in the Life Ins Business Newbie in the Life Ins Business
I am just getting started and wanted to see what the average commission rates are as I was told when you first get started with an agency its about 20% and takes several years to increase. Please share what companies you are with and the commission rates and how easy or hard it is to increase the commission rates. Thank you for all your help!

Not sure if it matters I am in Az.
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Old 07-07-2017, 11:57 PM   #2
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The only places I've heard that start remotely that low... are the MLM insurance companies. They generally start out at about 25%, and by recruiting others and personal production, you can increase that to about 80% at the top end.

Insurance career agencies (New York Life, MassMutual, and others) are about 55% on the commissionable part of the premium.

Independent contracts often are about 80% - 120% depending on company, product, contract, etc.

20% sounds awfully low (generally speaking) without knowing more details about the product and company.
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Old 07-08-2017, 11:58 AM   #3
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Newbie in the Life Ins Business Re: Newbie in the Life Ins Business
Could also be a call center.. like a select quote and intelli quote.. in that case it might be worth it since they get you all the leads and you're just on the phone selling.
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Old 07-08-2017, 01:09 PM   #4
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Originally Posted by jboussea View Post
Could also be a call center.. like a select quote and intelli quote.. in that case it might be worth it since they get you all the leads and you're just on the phone selling.
I think I figured it out. The company I am with is a MLM and I guess other MLM's start at 20% but we start at 30% and can grow quickly. My broker got to 70% in just 67 days. I thought they were talking about working with agencies not other MLM companies. With our company you can get all the way up to 130% commission is paid up front for the entire year of the policy. So if the policy is $50 a month x 12= $600 x % is what you get for the commission.

I guess many agents are leaving agencies to go to MLM because they can make more by building a team. This is just what I have heard from other agents in my office that were with agencies before.

I am still learning!
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Old 07-08-2017, 02:55 PM   #5
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Newbie in the Life Ins Business Re: Newbie in the Life Ins Business
Originally Posted by hayyojo View Post
I think I figured it out. The company I am with is a MLM and I guess other MLM's start at 20% but we start at 30% and can grow quickly. My broker got to 70% in just 67 days. I thought they were talking about working with agencies not other MLM companies. With our company you can get all the way up to 130% commission is paid up front for the entire year of the policy. So if the policy is $50 a month x 12= $600 x % is what you get for the commission.

I guess many agents are leaving agencies to go to MLM because they can make more by building a team. This is just what I have heard from other agents in my office that were with agencies before.

I am still learning!
Right now you're just drinking kool aid. The learning will set in if you fall for that garbage.
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Old 07-09-2017, 05:52 PM   #6
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Newbie in the Life Ins Business
Originally Posted by hayyojo View Post

I think I figured it out. The company I am with is a MLM and I guess other MLM's start at 20% but we start at 30% and can grow quickly. My broker got to 70% in just 67 days. I thought they were talking about working with agencies not other MLM companies. With our company you can get all the way up to 130% commission is paid up front for the entire year of the policy. So if the policy is $50 a month x 12= $600 x % is what you get for the commission.

I guess many agents are leaving agencies to go to MLM because they can make more by building a team. This is just what I have heard from other agents in my office that were with agencies before.

I am still learning!
Question to ask yourself why do you have to convince people to take a 20-30% commission when they could get 100-130% depending on carrier without all the MLM recruiting?
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Old 07-22-2017, 09:36 AM   #7
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Newbie in the Life Ins Business Re: Newbie in the Life Ins Business
If someone offers you only 20% commission to sell life thru them, turn around and run away as fast as you can.

Didn't WC Fields say "There's a sucker born every minute"
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Old 07-27-2017, 04:27 PM   #8
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Newbie in the Life Ins Business Re: Newbie in the Life Ins Business
More like the MLM agents are running to become indy agents.

Not to knock all MLM gigs,,,, but man 20% is super low. Probably have to buy a policy from your upline too.
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Old 07-27-2017, 04:59 PM   #9
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Newbie in the Life Ins Business Re: Newbie in the Life Ins Business
Originally Posted by hayyojo View Post
I am just getting started and wanted to see what the average commission rates are as I was told when you first get started with an agency its about 20% and takes several years to increase. Please share what companies you are with and the commission rates and how easy or hard it is to increase the commission rates. Thank you for all your help!

Not sure if it matters I am in Az.
Now that you are licensed, find an independent agent who is willing to train you. The commission you earn there will be significantly higher than what you're going to earn with the MLM route.
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