PERSISTENCY BONUS QUALIFIER Clause Samples
The Persistency Bonus Qualifier clause defines the conditions under which a bonus is awarded based on the continued performance or retention of a policy, contract, or business relationship over a specified period. Typically, this clause outlines the metrics or thresholds that must be met—such as maintaining a certain percentage of active policies or accounts for a set duration—to qualify for the bonus. Its core practical function is to incentivize long-term engagement and stability, encouraging parties to maintain consistent performance and reduce turnover or cancellations.
PERSISTENCY BONUS QUALIFIER. A. Minimum of 251 enrolled medical contracts;
B. Net overall growth in the number of Insurer contracts subject to this Agreement as measured by the difference between the contracts on the Beginning Date of business with Insurer subject to this contract and those contracts in effect on December 31, 2013. New Business is included in Persistency Bonus calculation and ratio described above.
C. Insurer shall have the authority to determine qualifications and final ratios for any qualifying Broker/Agent.
D. When two blocks of business merge, the new basis for the Persistency Bonus becomes the start number from both blocks as of January 1st of the year of the merger. All terminations/additions from both blocks combine into the new block.
E. USAble Life/Disability Premium Persistency Bonus Qualifier
1. Must already have a 95.0% persistency to achieve additional medical contract equivalents.
2. For each $100,000 of annualized USAble Premium sold an additional 25 Medical contracts will be added to your 2013 Eligible Medical contract counts.
3. The additional contract counts earned for 2013 USAble Premiums do not rollover to 2014.
4. Payment rate for the additional contacts earned will be at the rate based on the Medical Bonus Payout Scale.
PERSISTENCY BONUS QUALIFIER. A. Minimum of 251 enrolled medical contracts;
B. Net overall growth in the number of Insurer contracts subject to this Agreement as measured by the difference between the contracts on the Beginning Date of business with Insurer subject to this contract and those contracts in effect on December 31, 2012. New Business is included in Persistency Bonus calculation and ratio described above.
C. Insurer shall have the authority to determine qualifications and final ratios for any qualifying Broker/Agent.
D. When two blocks of business merge, the new basis for the Persistency Bonus becomes the start number from both blocks as of January 1st of the year of the merger. All terminations/additions from both blocks combine into the new block.
PERSISTENCY BONUS QUALIFIER. 1. Minimum of $2,100,000.00 in annual Group Insurer paid premium;
2. Minimum Persistency Ratio of 85% - measured by the number of contracts in force with Insurer on December 31, 2007, for an existing contracted broker or the first day on which a new Broker wrote business subject to this Agreement (the "Beginning Date") compared to the number of contracts in those same groups on December 31, 2008,
3. Net overall growth in the number of Insurer contracts subject to this Agreement as measured by the difference between the contracts on the Beginning Date of business with Insurer subject to this contract and those contracts in effect on December 31, 2008.
4. New Business is not included in Persistency Bonus calculation or ratio described in (2) above. New Business is included in Persistency Bonus calculation and ratio described in (3) above.
PERSISTENCY BONUS QUALIFIER. A. Minimum of 251 enrolled medical subscriber contracts;
B. Net overall growth in the number of Insurer contracts subject to this Agreement as measured by the difference between the contracts on the Beginning Date of business with Insurer subject to this contract and those contracts in effect on December 31, 2015. New Business is included in Persistency Bonus calculation and ratio described above.
C. Insurer shall have the authority to determine qualifications and final ratios for any qualifying Broker/Agent.
D. When two blocks of business merge, the new basis for the Persistency Bonus becomes the start number from both blocks as of January 1st of the year of the merger. All terminations/additions from both blocks combine into the new block.
▇. ▇▇▇▇▇▇/Agents that lose accounts sized 100+ from their block of business that Insurer retains, can request in writing that Insurer remove these accounts from Broker/Agent annual beginning block of business total for bonus calculation purposes.
▇. ▇▇▇▇▇▇/Agents existing subscriber contracts that transfer/atomizes or transfers into the Insurer’s Consumer Direct market will be removed from Broker/Agents annual beginning block of business total for bonus calculation purposes.
G. USAble Life/Disability Premium Persistency Bonus Qualifier
1. Must already have a 90.0% persistency to achieve additional medical contract equivalents.
2. For each $100,000 of annualized USAble Premium sold an additional 40 Medical contracts will be added to your 2015 Eligible Medical contract counts.
3. The additional contract counts earned for 2015 USAble Premiums do not rollover to 2016.
4. Payment rate for the additional contacts earned will be at the rate based on the Medical Bonus Payout Scale.