THE HONEST ANSWER

Does an IMO charge a fee?

No. A reputable IMO, FMO, or BGA should not charge you a fee to contract or to use its platform, because the IMO is paid by the carriers through overrides, not by you. At Brokers Alliance the answer is plainer still ... no contracting fee, no platform fee, no monthly cost.

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01 · HOW THE MONEY MOVES

How IMO economics actually work

I am David Racich, owner and CEO of Brokers Alliance. Here is how the economics work, so the answer holds up to scrutiny. An IMO sits between the agent and the insurance carriers. When you place business, the carrier pays compensation, and a portion flows to the distributor as an override for aggregating production, handling contracting, and supporting cases.

The override is how the IMO makes its money The agent is the source of the production the IMO is paid on The carriers already fund the distributor You do not need to fund it twice

02 · WHY SOME FIRMS STILL CHARGE

So why do some firms charge anyway?

Some distributors do attach fees, and they are allowed to. It is a business choice, not an industry rule. Sometimes it pays for genuinely useful tools. Often it simply shifts the distributor's cost onto the producer. The point is that a fee is never required by the structure of the business. When you see one, you are entitled to ask exactly what it buys and whether the value is real.

PSPlatform subscription

A recurring charge to keep using the distributor's software.

TCTechnology charge

A line item for tools that a well-run firm can fund from the override.

CFContracting fee

A one-time cost to do the paperwork the carrier already pays for.

MCMonthly cost

A standing subscription that shifts overhead onto the agent who produces.

03 · WHAT WE CHARGE

What Brokers Alliance charges agents

We are paid the way every distributor is paid, by the carriers, and we have chosen not to pass our costs to the agents who produce. Commissions and carrier lineups are table stakes. The technology we build in house is the differentiator, and it comes with the relationship rather than as an add-on bill.

$0Contracting

Nothing. Free and open.

$0MyAdvisorCloud platform access

Nothing.

$0RetirementBrain client-facing tool

Nothing. Free to contracted agents.

$0MyAdvisorGrids commission transparency

Nothing.

$0Monthly or subscription cost

Nothing.

04 · BEFORE YOU SIGN

Read any agreement that mentions a fee

Whatever distributor you join, read the agent agreement before you sign, and look specifically for the words fee, charge, subscription, cost, or deduction. Then ask three questions. A clear firm will answer all three without hesitation. If the answers are vague, that vagueness is telling you something.

01What exactly am I being charged?

Get the specific line item, not a general reassurance.

02Is it one time or recurring?

A single fee and a standing subscription are very different commitments.

03What happens to it if I leave?

Know whether the charge follows you out the door.

Ready to contract with no fee?

Contracting is free and open, and the platform comes with the relationship. Independently owned since 1982, based in Fountain Hills, Arizona. Call (866) 872-9394 or reach the team below.

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