Because life and medical insurance commissions are front-loaded, agents typically do not get a commission after the 3rd policy renewal. At times, hostage and independent representatives may make contingent commissions, which are incentive-based. Insurance coverage companies or companies might set specific objectives for accomplishing contingent commissions, such as: Reaching a specific volume of businessPolicy retentionGrowing a specific line of insuranceOverall success In general, no matter the type of agent, the higher a representative's book of service, the more commissions she or he makes.

Many U.S. states have disclosure laws that require agents and brokers to provide this information. Some insurance agents may get quarterly, semiannual, or year-end bonuses based upon their sales performance. For captive representatives, efficiency perks can amount to 20% or more of their earnings. Independent agents typically do not get performance perks unless

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