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...he mind, body and spirit of each resident. Risk & Insurance® is not...

...es, agents or assistants or sub-contractors, including all claims relating to ...

... corporations. That tax is presently $800. Some added employment taxes. The combined social security tax on the corporation and the employee exceeds the self employed rate, though the corporation's portion of the tax is deductible. More complicated to operate. A corporation has more records to keep and returns to file. Possible effect of corporate securities laws. For the typical insurance production agency, where all stockholders reside in California and are directly involved in the business, the federal and state corporate security laws usually pose no problem. Securities laws will affect an agency acquired by a larger brokerage, particularly one listed on a national exchange. 1.2.5 Subchapter S corporation. The Subchapter S corporation is an ordinary business corporation which qualifies for and has elected Subchapter S treatment. It is taxed like a partnership in most ... stock could also be owned by a partnership. This permits essentially fully deductible liquidation payments to a retiring partner by the remaining partners. It allows easier ownership interest revisions according to production, if the partners want this. However, it prevents a subchapter S election. This organizational structure should be formalized by an agreement between the corporation and the partnership or partners, under which the corporation as an independent contractor administers the insurance business in exchange for a share of the commissions. This provides cash to the partnership to permit a partnership liquidation program for retiring partners. Ownership of expirations. Normally, expirations are transferred to the corporation. This helps insure that the corporation is adequately capitalized, and helps prevent piercing the corporate veil' Ownership of expirations and good will could also be retained by individual stockholders or a ...

... that would preclude him or her from passing a Life insurance company's requirements? Is there any reason to believe that the individual could not afford to pay the premium for Life insurance? For example: loss of job, bankruptcy, persistent trouble meeting P/C premiums, and so on. Can the individual be seen? Does the person go out of town often, or does he or she reside far from the agency? In other words, will this person be able to come to the agency for an appointment? Has the individual recently undergone an insurance update and therefore doesn't need an insurance review at this time? A certain percentage of your customers will fail this pass, pay, see, need test. Those who make it through the test are put through a second test-they must ... decision between options at this point. You may choose to use two methods at the same time, to start with one and work toward another, or to adopt any other method that suits your agency's needs. Keep an open mind toward all these methods of producing Life profit for your agency. Some agencies will want to limit their involvement in the Life operation to simply setting appointments for an independent contractor or a carrier's field representative (Options 1, 2, and 3 in the Life Operation Options' section of this Agent's Guide) . If you can't invest the kind of time or money in this venture to warrant training your P/C staff to sell Life or establishing a separate Life department/profit center (Options 4 and 5), then the former methods can help get you ...