Comission Structure

w.neil93

New Member
19
What is a good commission structure for independent agency such as SF, Allstate, Farmers etc...

Right now I make 4% on 0-10000
5% on 10001-20000
6% on 20000+
 
What is a good commission structure for independent agency such as SF, Allstate, Farmers etc...

Right now I make 4% on 0-10000
5% on 10001-20000
6% on 20000+

10% minimum new business. Most IA's make 15-20% new business
 
11.5 an hour, but I don't want to sell to my friends and family which I probably will be forced to do.... I'm an "intern" right now
 
What is a good commission structure for independent agency such as SF, Allstate, Farmers etc... Right now I make 4% on 0-10000 5% on 10001-20000 6% on 20000+

An independent agency is not a SF or an Allstate, those are captive agencies.

Is the 4% on 10K per month? So if you did 10K in premium in a given month you'd make 4% of that?

You also haven't mentioned if you get any salary benefits leads etc.

You should be at 20K in premium per month anyway so 6% isn't terrible. The days of 15% or 20% in commission are pretty much gone. Most carriers are at 10-12% so you're looking at a 60/40 split with the agency, again not terrible but depends on what else you get out of the agency.
 
Yes, then I meant it is a captive agency. You are correct, If I did 10k in premium I make 4%, 400$

----------

No benefits, as I am an "intern" right now. Life leads from quotewizard, I am not salary right now but I believe when I become salary I will have to work overtime and may not get time and a half as I believe my coworker does not now, I don't want to ask him though, I only have 1 coworker bc I am like I said an "intern"...
 
Yes, then I meant it is a captive agency. You are correct, If I did 10k in premium I make 4%, 400$

----------

No benefits, as I am an "intern" right now. Life leads from quotewizard, I am not salary right now but I believe when I become salary I will have to work overtime and may not get time and a half as I believe my coworker does not now, I don't want to ask him though, I only have 1 coworker bc I am like I said an "intern"...

Do you get renewals?

6% with a base pay is really good. That's 60% of the commission. Plus the agent is buying leads.

I guarantee you if you don't sell at least 20k in premium you shouldn't Be in the insurance business.
 
Last edited:
Do you get renewals?

6% with a base pay is really good. That's 60% of the commission. Plus the agent is buying leads.

I guarantee you if you don't sell at least 20k in premium you shouldn't Be in the insurance business.

I am not pulling 20k in premium right now, this is my first job out of college and I have been in the business for 3 months. I just got my licenses over the summer. I don't know about renewals yet.
 
I am not pulling 20k in premium right now, this is my first job out of college and I have been in the business for 3 months. I just got my licenses over the summer. I don't know about renewals yet.

If you aren't good a sales might jump ship.

If you are, negotiate a better renewal deal vs new business commission. For instance the average agent negotiates a 30/20 or 40/30 split. Trying getting a 30% new biz and 40% renewal.
 

Latest posts

Back
Top