It becomes a matter of concern for the insurance agents’ association that members are earning less from their work. Secondly, there could be more recovery of premiums (amount paid for an insurance cover) from clients who had insurance on credit, meaning there were no commissions paid for such business. One of the major reasons commissions payable have decreased is due to clawback – where insurance companies take back commissions earned by agents. INSURANCE BUSINESSIn life insurance business, agents are given unattainable targets that result in unfair termination should they fail to achieve these. This means that all the business brought previously and which continues to pay commissions is retained in the company but the agents’ commissions are terminated.

Source: Daily Nation July 05, 2017 15:45 UTC