I speak with some agents that are taking 80% contract and paying $24 for direct mail leads and they could be getting the same type of leads for $28 and taking 100% plus contract to find their own $28 leads.

Why would you give up over 20% commissions to save $4 a lead?


Let me give you an example of what I’m talking about. I wrote a F.E. App and the premium was $86. If I had been on 80% I would have made $825.60 for the year. If I had taken the 100% contract I would have made $1032 for the year. You would have lost/given up $206.40 for 1 application to save $4 a lead? If you get 10 leads you should sell at least one. To save $40 you give up $206.40 What about the sales that you make that are not from leads? You taking a 20% plus commission cut on those also.

To save a smaller amount of money, you give up a higher amount. What a minute! What??

I guess they are hoping you don’t know where to get $28 direct mail leads or any other kinds of leads from. A lot of brand new agents will do this mistake.