For this column, we asked readers to respond to the possible ethical questions raised when producers accept contingent commissions for delivering a certain volume or quality of business as part of their compensation from carriers. Are there ethical methods of recognizing potential conflicts of interest in producer compensation and, other than prohibiting such bonus fees altogether, what are some ethical ways of reconciling those conflicts?
Given the nature of the questions, responses generally revolved around the ethics of contingent commissions and how any potential conflicts of interest can be ethically treated.
Consistent with previous discussions of contingency fees, these commissions and most other forms of producer compensation were overwhelmingly considered ethical–although with certain qualifications.
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
