Legislation restrictions on the earnings of short-term insurance brokers permit them to earn revenue in three different ways: they receive statutory commission for selling and maintaining policies; they submit claims; and most importantly, they advise their clients on the types of available cover. They may be paid a binder fee by an insurer to cover the costs they have for performing functions like issuing policies and settling claims. If they perform functions for clients outside of what they are paid for by the insurer, they may, with permission, charge the client a fee.
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