LIC Agent Commission is only the commission that a LIC Insurance Agent gets from the partnership. Extra security Agency is an interesting vocation. Since the harder, you work the more commission you get. It differs from Policy to strategy, and furthermore the LIC Agent Commission chart 2020 depends on the term of the approach. That implies higher the term, more the commission that the specialist gets.
What Does It Mean By LIC Agent Commission Chart 2020?
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LIC commission agents are actually official insurance consultants who clarify you about the LIC insurance plans and thus in return, they get a certain amount of commission. Many of us wish to know how much LIC Agent get Commission. What is the rate of the LIC Agent Commission? Here I have provided comprehensive details of the LIC Agent Commission chart 2020. So, read below to know more about the LIC Agent Commission chart 2020.
These are some sweet lines LIC agents use to express their worry towards you. However, your well-being isn’t their one and only purpose. Rather the commission that the LIC agents receive in return when you purchase a policy. And this is the primary purpose.
But do you know how much commission they get from that? So, let’s now check out other details regarding the LIC agent commission chart 2020 below:
Terms & Conditions of the LIC Agent Commission:
The maximum commission that a LIC Agent earns in the very first year is at least 25 percent for 15 yrs., and/or more and commission gets reduced up to 5% after the fourth year. However, in some cases, the LIC agents offer to give the 1st-month premium to inspire their clients to purchase the insurance plan.
For an Endowment Policy with over 15 yrs. The agent gets 25% as well as an Extra Commission for LIC agent on the same insurance plan to the level of 10% on their 1st Year Premium. A total of 35% is allocated delivered the Agent is qualified for Additional benefit.
Otherwise, the full LIC Agent Commission to be paid remains to be around 25 % on the 1st Year Premium that you pay. Additionally, the deal of the Life Insurance offers constant commission expenses for a single sale. The LIC Agent commission chart 2020 rate endures even after the agent dies or resigns; provided the LIC agent has continued his or her business as per rules.
Types of LIC Plans and Their Commissions:
The LIC Agent Commission Chart 2020 depends on the types of LIC plans as well as other factors. So, let’s now check out the LIC agent commission chart 2020 rates from plans to plans. You can also check Top LIC Agent Commission Chart 2021
(i) LIC Agent Commission on Children Plan
(ii) LIC Agent Commission on Endowment Plan
(iii) LIC Agent Commission on Pension Plans
(iv) LIC Agent Commission on Money-Back Plan
LIC Agent Commission on Children Plan
| Premium Paying Period | Commission for First Year | Commission From the second year ahead |
|---|---|---|
| 2 years to 4 years | 5% | 2% |
| 5 years to 9 years | 7.5% | 5% |
| Over 9 years | 10% | 5% |
LIC Agent Commission on Endowment Plan
| Premium Paying Term | Commission 1st Year | Commission From the 2nd & 3rd year | 4th year Onward |
|---|---|---|---|
| 2 years to 4 years | 5% | 2.25% | 2.25% |
| 5 years to 9 years | 10% | 5% | 5% |
| 10 years to 14 years | 20% | 7.5% | 5% |
| 15 years and above | 25% | 7.5% | 5% |
LIC Agent Commission on Pension Plans
For Single-Premium Plan pay 2% of the single premium. And for other than the single premium plan
| Premium Paying Term | Commission on 1st Year | Commission From the second Year |
|---|---|---|
| 2 years to 4 years | 5% | 2% |
| Over 4 years | 7.5% | 2% |
Suppose you purchase an endowment policy having a period of 20 years with a yearly premium of INR 20000/-.
| Year | No. of years | Premium per annum | Commission Rate | Amount |
|---|---|---|---|---|
| 1st year | 1 | 20,000 | 25% | INR 5,000/- |
| 2nd and 3rd year | 2 | 20,000 | 7.5% | INR 3,000/- |
| From 4 year | 17 | 20,000 | 5% | INR 17,000/- |
| Total | INR 25,000/- |
LIC Agent Commission on Money-Back Plan
| Premium Paying Period | Commission on 1st Year | Commission From the 2nd and 3rd year | 4th year Onward |
|---|---|---|---|
| As per plan | 15% | 10% | 6% |
| 12 year | 15% | 8% | 6% |
BOTTOM LINES:
The agent always tries to convince you to purchase the policy which would be beneficial to the agent. Do not trust the agent carelessly. Think through all the details about the policies and thus match with your needs, then choose which policy you should purchase.
FAQ Regarding LIC Agent’s Commission:
Q. How much commission do LIC agents get?
A. The amount of commission of LIC agents always depends on the type of insurance plan, year of insurance plan as well as the premium of the insurance policy.
Q. Do LIC agents get salary?
A. NO. LIC agents don’t get a salary but they get a commission on the insurance policies that they sell out to the clients.
Q. Is there any target for LIC agent?
A. YES! The first and foremost thing For a LIC Agent is to Earn during their Learning Course!
Q. How can I get LIC agent license?
A. To become a LIC agent contact the nearest LIC branch office to meet the development officer there. And thus follow the instructions as given by the development officers.
Q. Can I open LIC policy without agent?
A. YES! Of course, you can open/buy LIC policy without the help of any agents. Click here to know how to buy LIC policy without an agent.
Q. What is minimum requirement for LIC agent?
A. The minimum requirement for the LIC agent is that you should at least have a 10th pass certificate and your age should be at least 18 years.
Q. What is the difference between online and offline insurance policy?
A. For an online insurance policy, you don’t need an agent but for an offline insurance policy, you may require an agent. In online insurance plans, you can read all the details by yourself but in the offline mode, you need to depend on your agent.
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