What is the maximum percentage of commissions that a producer may earn for writing controlled business during a 24-month period?

The maximum percentage of commissions that a producer may earn for writing controlled business during a 24-month period is 35%. This regulation is in place to prevent conflicts of interest and ensure that producers do not excessively profit from business that they have significant control over, which could lead to unethical practices. Controlled business refers to insurance purchased for an agent’s own benefit, such as insurance for their family or themselves, and this limit is intended to promote fairness and competition in the insurance market. Such regulations are established to ensure producers have diverse clients and do not solely rely on their personal networks, ultimately protecting the integrity of the insurance industry.