I feel that some brokerages misuse the contingent commissions, but this is human nature. The commission is needed for these brokerages and agents that keep and meet their quota. It helps maintain an agents income. The agent or broker is important to a customer. Without them customers would be dealing with the insurance company alone. They deserve the commission. The brokerages should use a Declaration of Compensation to protect themselves, which is a strategy that provides full disclosure to their customers.
I feel that some brokerages misuse the contingent commissions, but this is human nature. The commission is needed for these brokerages and agents that keep and meet their quota. It helps maintain an agents income. The agent or broker is important to a customer. Without them customers would be dealing with the insurance company alone. They deserve the commission. The brokerages should use a Declaration of Compensation to protect themselves, which is a strategy that provides full disclosure to their customers.