We believe it's important for you to understand how brokers are compensated for the work they do on behalf of your organization, and we encourage disclosure of this information so you can make an informed purchase decision.
The qualifications for each compensation program vary by benefit. Your broker can share this information with you.
Our compensation and disclosure policy
As a customer, you have a few responsibilities to help us ensure these compensation programs continue to run smoothly:
- Brokers may be eligible to receive Base Commissions as well as Supplemental Commissions from Unum.
- Unum provides Base Commissions to all brokers in connection with the sale of an insurance policy. Base Commissions are a fixed percentage of the policy premium and may include a one-time, first-year, flat amount for each policy sold. Base Commissions are paid by Unum to the broker(s) on your policy. In some circumstance, broker(s) may be eligible to receive commissions on your policy even after a broker of change has occurred.
- A broker may also qualify for Supplemental Commissions paid by Unum. For group insurance products, Supplemental Commissions may be paid as a fixed percentage of total eligible group insurance premiums. The Supplemental Commission rate depends on the total dollar amount of all eligible premiums or number of group policies that the broker had inforce with Unum in the prior calendar year.
- Supplemental Commissions may be calculated differently for other insurance products. The premium you pay is not impacted whether or not your broker receives Supplemental Commissions.
- Notify Unum, in writing, of changes to the broker of record on your policy or policies.
- Unless you direct us otherwise, all insurance policies on which we pay base commissions are also eligible for consideration under other compensation programs.
- For group insurance policies where we don't pay base commissions, brokers are eligible for consideration under other compensation programs only if you consent. Either way, your premium will not be affected.
- Group customers will receive a broker compensation disclosure statement with their initial policy documents and annually after that.