A unique independent national marketing firm

specializing in consumer oriented Index Annuities

The Interstate ID Business Builders™ Program

Program Summary

What is the Interstate ID Business Builders™ Program?

The Interstate ID Business Builders™ Program is an incentive based marketing reimbursement program that rewards our top producers by reinvesting money back into their businesses to help them pay for business development expenses like lead generation, professional designations, continuing education, equipment and supplies, office rent, office staff, etc. The program is available exclusively to writing producers who are actively contracted through Interstate ID to sell any of our eligible annuity products. The program is not available to Interstate ID wholesalers or to broker dealer home offices.

How does the Interstate ID Business Builders™ Program work?

When a writing producer places at least $1 million of issued and paid eligible adjusted premium through Interstate ID during the qualifying period, they become eligible for a reimbursement equal to 15 bp (basis points) of their total issued and paid eligible adjusted premium. When a writing producer places at least $2 million of issued and paid eligible adjusted premium through Interstate ID during the qualifying period, they become eligible for a reimbursement equal to 25 bp (basis points) of their total issued and paid eligible adjusted premium. The qualifying period starts on December 1, 2007 and ends on November 30, 2008. There is no limit to the total amount of reimbursement a producer can receive.

What is eligible adjusted premium?

Eligible adjusted premium is simply any premium resulting from the sale of eligible annuity products adjusted to compensate for differences in specific annuity product spreads. For example, an eligible annuity product that has a 100% adjustment means that 100% of the issued and paid premium for that product counts towards eligible adjusted premium. On the other hand, an eligible annuity product that has an 80% adjustment means that 80% of the issued and paid premium for that product counts towards eligible adjusted premium. Producers can access a complete list of all eligible annuity products, together with their applicable adjustment percentages, through the home page of the Interstate ID Index Annuity Resource Center.

If I become a qualifying producer, how and when can I receive my reimbursement?

Qualifying producers must submit any business development receipts and/or supporting documentation they have to Interstate ID between December 1, 2008 and December 15, 2008. Interstate ID will then determine each qualifying producer's eligible reimbursement amount and will send out the reimbursement checks before December 31, 2008.

What happens if there is a commission chargeback?

If a commission chargeback occurs before a reimbursement payment has been made, the eligible adjusted premium associated with that commission chargeback will be subtracted out from the writing producer's then current cumulative eligible adjusted premium. If a commission chargeback occurs after a reimbursement payment has already been made, the writing producer will immediately pay back to Interstate ID the portion of their reimbursement check attributable to the charged back commission. Also, if at the time that a reimbursement check is due a qualifying producer has any outstanding indebtedness to Interstate ID, or to any insurance company that the qualifying producer is contracted with through Interstate ID, then Interstate ID can, at its sole discretion, reduce that qualifying producer's pending reimbursement check by an amount equal to the total indebtedness.

Can changes to the program be made? What impact will they have?

Upon notification via the Interstate ID website, Interstate ID reserves the right to make changes to the Business Builders™ Program or to terminate the Business Builders™ Program at any time, at its sole discretion. These changes can include, but are not limited to, adding and/or deleting eligible annuity products and changing any specific product's applicable adjustment percentage. If Interstate ID does make any changes, or if Interstate ID terminates the program altogether, these changes will only apply to future eligible business from the date of notification forward. All issued and paid eligible adjusted premium occurring prior to any such notification of change will continue to be governed by the same rules and regulations that were in place prior to the notification of change being made.

Dispute Resolution

The Interstate ID Business Builders™ Program is a voluntary incentive based marketing reimbursement program and Interstate ID writing producers are not required to participate. However, if an Interstate ID writing producer does choose to participate, they must understand and agree that Interstate ID reserves the exclusive right to settle any and all potential disputes that may arise as a result of the program or as a result of any of its rules or conditions.

The Interstate ID website is for Broker Use Only. The Interstate ID website (and all of its contents) constitutes intellectual property of Interstate Insurance Distributors LLC and is protected by U.S. copyright law. Any unauthorized use of Interstate ID's intellectual property is strictly prohibited.