Split commissions are used when a company is paying the agency different rates of commission on the same premium. It can also be used if there happens to be more than one company that will be picking up different exposures on the premium. It may also be used if the producer commission is going to be divided between more than one producer, if only one producer is listed in the policy detail. Follow the steps below to bill items with split commissions.
Note: Any changes made to a split transaction will delete the split, so be very careful when entering it so that changes are not needed.
Follow the steps below to enter a split company commission in WinTAM.
Note: You are now brought to a screen where you can split the company commission. For this example, you have a REN transaction with a premium of $678. The commission percentage is 15% for the company HAR. You want to bill $600 at 15% and $78 at 10% commission.
- If you have a policy that is being shared by two different billing companies, you can include that information in the split commissions area. Using the above example, with the REN transaction for $678.00. The commission percentage is 15% for company HAR and they are handling 70 percent of the premium. The commission percentage is 10% for Company AET and they are handling 30 percent of the premium.
- Split commissions can be entered into TAM without using the exposure % column. If you use that column and select the option to save the split, the next time the policy is invoiced, TAM will ask if you would like to use the saved split commission. If you select Yes, TAM automatically calculates the premium amount based on the exposure percentages that you enter.
If you have any questions or problems following these instructions, please contact the Accounting Support team.
Last Revised: May 30, 2008 04:32 PMSWE5474