Bollinger's Compensation Structure
Our compensation is related to the service provided by us to our clients. We are either compensated by the insurance carrier through a commission percentage tied to the level of premium, or by a fee paid by the client. This fee must be agreed to in writing with the client in advance of coverage being put into effect. In some cases our compensation will be a combination of these two methods, and such arrangements will be fully disclosed to our clients.
In addition to compensation received from a carrier or from a client for a specific account, we are eligible to earn contingent commissions or supplemental compensation each year from insurance carriers for whom we act as agents. These types of additional compensation are based on our total performance with certain carriers and are not directly related to any specific account. The amount, if any, of such additional compensation depends upon a combination of premium volume levels, growth percentages and the profitability of business placed with specific insurance carriers. These types of additional compensation arrangements are considered an industry standard and help us to develop strong relationships with insurance carriers so that we can better serve our customers.