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I would like to know what agency standards are in the business. What do you pay Producers, Commercial Lines & Personal Lines, for new and renewal business for commission split to the Producer and to the agency? Please help!

Thanks!

We pay our Agents 50% for new and 25% for renewal if they bring the business in on their own. If it is a "call-in" to the Agency, we will pay 40% for new and 20% for renewal. This includes any Broker Fees tha may be charged.

I pay my producers 50% new & renewal all lines. However they do all their own servicing on the accounts. I find that if they have to service thier own accounts, they retain them.

Personal Lines CSRs are paid 20% on new business commission (first year only). Same for Commercial Lines CSRs.

Commercial Lines P & C Producers (supported by a CSR) are paid a salary for the first 5 years, plus 30% commission on new business (first year only). After 5 years, the C/L Producer commission goes to 35% (new business) and their salary is determined by taking the commission in their book at year end and salary is adjusted January 1 to 35% of that figure each year.

Benefits Producers are paid same as C/L Producers, except the split is 40% for Producer (60 for agency), and 40% of year end book is used for salary determination.

$2,500,000 commission revenue agency with 5 Producers, and total staff of 23.

You know i have had this question posed to many times. There are no standards. If you are a great producer and have your own book then ? you tell me. if your new and have great possibility. If you're a maybe, if you're seasoned starting over. If Noah can Negociate with GOD then you the producer can too. So what are you bring to the table??
50/50, 60/40, 70/30, with benefit, without BOB buy back deals

60/40 to the producer period. No benefits, no disagreements.

92builder,

Do you start them off on a salary or is it 60/40 from the begining?

It's 60/40 from day one. Yes, I'm an jerk...

No, 92, I do not think that you are a jerk. I, too, only pay commission. I have found that if they are also receiving a salary, they do not have the same motivation to "hit the ground running" as a commission only producer. Paying a salary only slows the production numbers way down.