Commissions
Commissions
DESIGNING A FIELD COMPENSATION STRUCTURE
Insurance Compensation Trends and Outlook
Longer guarantees with corresponding higher gross premiums further increase
commissions. There is an incentive for agents to sell longer guarantees even when they are not
needed. The only effective way to correct the situation is to require reserves greater than 1/2 cx
BRIAN KAVANAGH:
Life Valuation Issues — XXX/Regulation 147
William Albus (National Association of Life Underwriters) commented that the requirement for disclosing sales commissions is unnecessary because it is superfluous and would only confuse consumers.
He stated that the purpose of disclosure is to provide information for making an informed decision and the disclosure of sales commissions has nothing to do with making this decision.
1988-2 NAIC Proc.
Mr. Birdsall asked if the agent compensation structure for IUL products provide greater incentives for agents than is provided by the compensation structure of traditional universal life (UL) products.
Mr. Samuelson (MetLife) said that a compensation study he had previously conducted found that, on average, IUL policies have a target premium 80% higher than the average target premium for UL products.
2014/11/14-15, IULWG – 6-63
Statutory Prohibitions on the Negotiation of InsuranceAgent Commissions: Substantive Due Process Review
Under State Constitutions
ROBERT H. JERRY, II* AND REGINALD L. ROBINSON**
https://kb.osu.edu/bitstream/handle/1811/64079/OSLJ_V51N4_0773.pdf
1981 – INSURANCE AGENT COMMISSION DEREGULATION, SUBCOMMITTEE ON GENERAL OVERSIGHT OF THE COMMITTEE ON SMALL BUSINESS HOUSE OF REPRESENTATIVES, SEPTEMBER 21, 1981