Interesting question, huh? Does it get you excited? Or maybe it scares the hell out of you?

Despite the fact that brokers all claim to work for their clients, they get paid as much as they do because of the value they bring to the carriers. Historically, commissions have been so high because the independent agency system is still a cheaper way for carriers to distribute their product than it is to maintain an internal sales force.

But, think for a moment: What would happen if tomorrow the carriers no longer paid commissions, and you had to go to every one of your clients and negotiate your compensation, starting from zero? Are you going to get a raise? Or a big pay cut?

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