💡 Insurance Agent Reinvest

How much commission should go back into growth?

Recommended

15%

of gross commission

ROI Target

5:1

lifetime value

Payback

18 mo

avg

Break-Even

12 mo

max

Reinvest %

Allocation

Channel	Share	Cost/Lead	Action
Referral Incentives	35%	$18	Automated gift cards
Local SEO / GMB	25%	$22	Monthly blog + reviews push
LinkedIn Ads	20%	$28	Retarget website visitors
Community Events	20%	$15	Quarterly sponsorships

✅

Rule of Thumb

Reinvest 15% of gross commission annually. In early years push to 20%; once referral engine runs, drop to 10%.

⚠️

Red Flag

If payback > 12 months or cost/lead > $35, pause channel and re-allocate to proven funnels (referrals, SEO).

Based on average $1,200 annual premium, 10% commission, 5-year client life, 15% lapse rate.