Broker Commission & Economics
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3 min read
Commission structure:
Parametric products typically carry broker commissions in the 10–15% range on written premium, competitive with specialty E&S markets. Founding brokers on the ParaSure platform receive preferred commission schedules — contact hello@parasure.xyz for the full schedule.
Minimum premiums:
Revenue per placement:
At a 12% commission on a $10,000 annual premium, you're earning $1,200 per bound policy. A book of 25 accounts generates $30,000 in commission income — plus renewals.
The renewal advantage:
Parametric products have high renewal retention once a client experiences a payout. The 47-second settlement experience converts skeptical clients into advocates.
How to position the fee conversation:
You're not selling coverage. You're selling certainty — the certainty that when a storm hits, cash arrives in their account automatically while their competitors are still filing claims. Price the certainty, not the coverage.
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