How to track insurance commissions and earnings

Most insurance agents do not track their commissions systematically — they wait for the monthly statement from their insurer. But tracking your own commissions helps you understand your income pattern, identify gaps, and plan for growth.

Types of commission you should track

• First-year commission (FYC): 2-35% of the first premium — highest percentage but one-time
• Renewal commission: 2-7% of renewal premiums for years 2-5 — this is your passive income
• Persistency bonus: Extra payout for maintaining high renewal rates
• Incentives: Club benefits, foreign trips, gadgets for top performers

Simple commission tracking system

You do not need fancy software. A simple sheet works:

• Column 1: Client name and policy number
• Column 2: Premium amount (annual)
• Column 3: Commission rate (%)
• Column 4: Expected commission
• Column 5: Renewal year (1, 2, 3...)

For a more automated approach, use insurance CRM software that tracks commission amounts and shows your expected income from renewals.