Glossary · Insurance agency commissions
Agency management system
An agency management system (AMS) is the software an agency uses as its record of clients, policies, transactions and, often, expected commission.
What it means
Well-known names in the US market include Applied Epic, AMS360, HawkSoft and EZLynx, among many others. Features differ, but most hold the policy record, the transaction history and an expected commission for each transaction, based on rates set up in the system.
Many carriers can send policy data, and sometimes commission data, into an AMS electronically, a process usually called download. Coverage differs by carrier, by line and by system, so downloaded data shouldn’t be assumed complete.
How it shows on a commission statement
The AMS doesn’t appear on a statement; it is what you compare the statement with. The comparison is only as good as the rates in the AMS. If a rate was set up wrong, the AMS will agree with a carrier that underpays you.
Example
| Policy | AMS expects | Statement | Result |
|---|---|---|---|
| EX-15102 | 270.00 | 270.00 | OK |
| EX-15118 | 192.00 | 168.00 | Short 24.00 |
| EX-15130 | 310.00 | Not on statement |
Common mistakes to check
- Rates in the AMS that no longer match the carrier’s current schedule.
- Transactions done in the carrier portal and never entered in the AMS.
- Comparing by effective date in one place and processed date in the other.
- Assuming download caught every endorsement and cancellation.