As one of the premier risk management, property & casualty and employee benefit providers in the Rocky
Mountains and throughout the United States, AssuredPartners Colorado (AP CO) wants to thank you for
engaging our organization.
AssuredPartners agencies are licensed as insurance producers by the various states where we are
transacting insurance. This may include the solicitation, sale and servicing of insurance business, as well as
advising on the relative benefits of certain insurance policies and risk management programs.
We typically receive compensation from insurers in the form of commissions paid as a percentage of the
premiums due to the applicable insurance companies. Commissions can vary by insurance carriers, by
volume of business placed with that company and/or the profitability thereof, among other factors. In other
cases, and depending on various state laws and the capacity in which our agency is acting, we may receive
other forms of compensation from insurers, insurance intermediaries, premium finance companies and other
vendors. These can come in the form of contingents, overrides, profit-sharing, premium finance fees,
expense reimbursements, producer subsidies, award trips, meetings and other incentives. We may also
earn interest on premiums we hold until it is time to pay the applicable insurance companies. Further detail is
Commission Income: Commission, calculated as a percentage of premium or as a flat rate, is paid by the
insurer to distribute and service your insurance policy. Our commission is included in the premium your
organization pays. Individuals at AP CO, who place and service your insurance, may be paid compensation
tied to this commission.
Contingency Income: AP CO may also receive income through contingency arrangements paid by certain
insurers. They are called “contingent” because, in order to qualify for payment, AP CO must meet certain
criteria. These qualifications are primarily related to providing better service and underwriting which benefits
both our clients and the insurance companies. For this reason, the individuals involved in placing or servicing
insurance are rarely, if ever, compensated directly for the contingent income that we receive. In addition,
these contingency payments are tied to the overall performance with an insurance company and thus we
cannot measure the impact that a single client may have on any contingency payment.
Supplemental Commission: Some insurance companies have replaced contingent commissions with
supplemental commissions. These amounts paid by carriers follow the same overall process as contingency
income but are normally determined in a prior year and are paid as a percentage of total premiums placed
with a carrier in subsequent years.
Fees Paid by Clients: When agreed to in writing by our clients, a fee may be negotiated for placement of
insurance coverage or additional services in lieu of commissions.
Other Compensation and Benefits: AP CO may receive revenue or benefits from our insurance brokerage
activities in other ways. This can include insurance company promotional events, promotional marketing
and/or employee training and development, fees or a percentage of the interest paid to us for the
administration of premium finance contracts, interest paid to us by financial institutions earned on fiduciary or
trust accounts, and other compensation paid by third party companies.
Our overriding desire is to provide greater customer service so you, our client, trust we have earned our
compensation. We believe in full disclosure of our compensation. Accordingly, if you have any questions
about how we are paid on your policies (including policies we propose to you), please just ask your account
representative, who will gladly provide you a summary of our compensation arising from your policies (some
estimation may be necessary, for example, where contingents are involved).
We thank you for the opportunity to serve and appreciate your interest.