Disclosure of Compensation
We Will Receive in Connection with Your Policy

The Hirshorn Company receives “standard commission” from every insurance carrier, which is paid on the front-end and is a specific percentage of premiums, per line of business. Different carriers pay different percentages. In general, these “standard commissions” average around 11% of premium. Sometimes we charge fees in lieu of commissions.

The Hirshorn Company also receives “contingent commission” payments from some of the insurance carriers we represent in addition to the standard commission payments. These contingent commissions are based on various targets (e.g., profitability, retention, growth) set by the carriers. These arrangements are also termed “profit sharing” or “bonus” payments. Each carrier's plan is different, but these contingent commissions are all back-end payments and depend upon reaching that company’s pre-set objectives. The “contingent commissions” are not guaranteed and vary greatly from year to year. They average around 1% of premium.

We receive various gifts, meals, prizes, and awards and other miscellaneous bonuses from carriers, and these represent less than 0.1% of premiums.

Finally, we do own stock in various businesses, including two insurance companies, AIG and Chubb. We feel this has no material affect on premiums paid by any client.

If you would like additional information about any of the compensation we will receive in connection with your policy, please contact your agent here at The Hirshorn Company.