This is arguably the most important question. You need to understand how you’ll be paid and what percentage of the commission you’ll receive. Inquire about:
- Commission splits: How are commissions split between the FMO and the agent/broker?
- Override commissions: Are there opportunities to earn overrides on the production of agents you recruit?
- Renewal commissions: What happens with renewal commissions on policies you sell?
- Chargebacks: Under what circumstances are chargebacks applied, and how are they handled?
- Payment schedules: How frequently are commissions paid (e.g., weekly, monthly)?
- Bonus programs and incentives: Does the FMO offer any bonus programs, trips, or other incentives?
