Throughout our history, Equity Risk Partners has been open and transparent with our clients about how we are compensated for the services we provide. We employ high quality people who work very hard to ensure our clients receive valuable advice and cost-efficient insurance products and services. Looking after clients’ best interests is always priority #1. In return for this commitment to our clients, we expect to be compensated in a fair manner that reflects our efforts and results. This compensation can come in many different forms, including:
Policy Commissions – The majority of the insurance policies we place include a commission calculated as a percentage of the policy premium. Commission rates vary by insurance company and by line of coverage.
Service Fees – In some cases, our clients compensate us directly through pre-negotiated fees. Fee arrangements include service agreements tied to the specific needs of a client.
Contingent or Profit Sharing Payments – We also have in place contingency or profit sharing arrangements with some insurance companies. As the name implies, payments under these arrangements are typically contingent upon meeting certain pre-determined growth or profitability goals. These arrangements are based on all of the business placed with the insurer over the course of the year and not on the individual policies of any one client.
Supplemental Commissions – In some cases, insurers pay additional commissions that are agreed upon in advance based on historical performance and are not contingent upon meeting current year criteria. Again, such payments are based on all business placed with the insurer during the year.
Other – In the course of our business, we may have opportunities to receive compensation in a variety of other ways. This additional compensation could take the form of anything from expense reimbursement from insurers for promotional events or employee training and development to fees earned for the administration of premium finance contracts.
If, at any time, you as a client have questions about the method or amount of our compensation, we are happy to provide more detailed information.