Long Term Care Insurance Compensation

Commissions are assigned to HBW and paid as earned. Commission calculations are based on the declared carrier concession which is a percentage of first year premium as well as residuals for subsequent years, then by the product payout, then by the HBW level grid below. Please allow 2 weeks for a commission statement to be received by HBW from the LTC company to then be processed in our commission run. Please see the commissions overview section for further payout details.

In addition to the following commissions, Charter VPs, Charter NDAs, AVPs, EVPs, and NDAs receive generational overrides.

Example: Commissionable$ x Product payout% x HBW Level% = Commission$

Assigned Commission Levels
HBW Level NDA/EVP/AVP PAVP SAM AM REP 2 REP 1
Percentage Payout 95% 80% 70% 60% 50% 45%

Carrier Commissions

Carrier Year 1 Subsequent Years
Genworth Year 1 2-5 6-10 11+
55% 8% 4% 1%
John Hancock Year 1 2-4 5-10 11+
65% 5% 5% 1%
MedAmerica Age Year 1 2-10   11+
18-64 45% 7% - 3%
65-85 35% 7% - 3%
Met Life Year 1 2-10   11+
60% 7% - 1%
Mutual of Omaha Age Year 1 2-5 6-10 11+
18-69 62.5% 5% 2% 0.5%
70-74 42.5% 5% 2 0.5%
75-79 37.5% 5% 2 0.5%
Prudential Year 1 2-10   11+
55% 7% - 1.5%

Please Note the Following Exceptions:

Commission Restrictive States: Due to some state specific first year commission rate restrictions, “Year 1” commissions will be paid at a lower rates than the above schedule. As a result, subsequent year commissions may be paid at higher rates. This applies to the states of Delaware, Indiana, Michigan, Pennsylvania and Wisconsin. Call for details.

Limited Pay Policies: Genworth – commission rates apply to 50% of the premium; John Hancock – commission rates apply to 60% of the premium; MedAmerica – Separate commission percentages listed on Carriers schedule; MetLife – 1st year commission on lifetime pay amount; renewal rates 2-10 paid on excess; Mutual of Omaha -1st year commission on lifetime pay amount; renewal rates 11+ paid on excess; Prudential – Separate commission percentages listed on carrier’s schedule.

Group Commission: Some Carriers reduce commission for Sponsored Group discounts. Please call for details.