AIA changes commission, clawback structure

From October 1, advisers with net annual new premiums up to $24,999 will be paid 150% in upfront standard commission.

Between $25,000 and $49,999 the rate will increase from 105% to 165%, between $50,000 and $99,999 it will increase from 170% to 180%, and advisers who place more than $100,000 in net annual new premiums in a December 1 to November 30 year will be paid 200%.

Advisers will also receive commission for renewal business, regardless of their production level, of 5% for year one and two, 7.5% for years three and four and 10% for five and over.

AIA has replaced the optional renewal commission with “Pendulum commission".