Commission plans

BillingCenter uses commission plans to calculate the amount of commission that a producer earns on a policy and to specify when the commission is earned. Producers must be associated with at least one commission plan. Producers are associated with commission plans using producer codes.

The following information is specified directly on the commission plan:
  • The plan's effective and expiration dates, which identify when the commission plan can be associated with producers
  • The tier of the plan, such as gold, silver, or bronze
  • Whether commission payments are suspended for delinquent policy periods

Commission subplans

Commission plans contain one or more commission subplans, which define commissionable items, commission rates, earning commission criteria, and the criteria to identify when the subplan is available.

The following information is specified on commission subplans:
  • The commissionable items.
  • The commission rates for each producer role (primary, secondary, referrer).
  • The earning commission criteria (such as "on binding" or "on invoice billing").
  • Any special rates or incentives.
  • The availability criteria, if applicable. This identifies the types of policies, accounts, jurisdictions, or underwriting companies for which the subplan can be used.

For more information on working with commission subplans in Cloud API, see Commission subplans.