This is an overview of how to create and update contracts for agents and agencies.
Single versus Blanket Contracts
You can establish relationships and contracts with individual carriers (Insco) for specific agreements or through a comprehensive blanket contract that covers multiple carriers.
Commission Payer
When setting up a contract, you can choose the BGA (Brokerage General Agent) or Insco (Carrier) as the commission payer, depending on how commissions are structured for the contract.
Note: In Core, all agents must have an Insco contract, but a GA contract can be used if the TPS indicator is checked, enabling the system to recognize the arrangement.
Requirements
Requirements are automatically populated based on state appointments.
While you can manually add requirements for blanket contracts, nothing will auto-populate on Step 3 of the wizard.
Schedule
The commission feature and contract schedules are under development and unavailable for testing. A built-in default schedule is currently displayed.
Compensation Hierarchy
You will be prompted to select the upline's Insco and/or GA contract to apply the correct hierarchy and commission structure.
We recommend that you start by creating hierarchies and contacts for the topmost uplines and then work downwards to connect all the hierarchies.
Note: The system is currently updating the naming convention. If you see ":", it indicates a contract that needs to be selected.
Link Requests
During the link request step, the system will alert you if any existing records in Core reference the contract you are adding.
IMPORTANT TERMS
Blanket Contract: A comprehensive agreement that allows an agent or agency to represent multiple carriers under a single contractual agreement.
Existing Contract: A pre-established agreement between the agent or agency and a carrier.
Product Engagement: The system will display the product types available from the carrier record, ensuring that only the carrier's products are displayed for selection.
Single Contract: A specific, individual agreement between an agent or agency and an insurance carrier (INSCO).
TPS Contract: The TPS (Third Party Solicitor) indicator signifies that the agent, designated as a solicitor, will receive payments directly from the agency, not directly from the insurance carrier. The carrier releases all commission payments to the GA, who then distributes them to the agent and any other uplines involved in the hierarchy. This setup ensures that all compensation is managed centrally by the GA without direct involvement from the carrier.