What should be the commission of a 2 million dollar life insurance policy?
Answers:
No way of knowing. It's going to depend on how much the premium is, and what type of life insurance policy it is.
It's NOT based on face value.
Commision for life insurance is based on premium for the year. It's not based on the dollar amount of the policy.
while in the business i saw commisions from 220 % down to 10%. The actual commision is a function of the premium so 2,000,000 on a young healthy person is less than on an older not so healthy person. A normal commision for a term policy is first year premium times abvout 50 or 60 %...each year after there is either nothing or maybe 10%. Whole life and universal life are somewhat different than that.
Dylan is right, and the premiums will vary greatly depending on the age, health conditions and other factors. Also the type of life policy can change the commission percentages.
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