Finder’s Fee
Updated: 29 February 2024
What Does Finder’s Fee Mean?
A finder’s fee is an amount of money that is paid to a party for successfully finding or setting up a business deal. In the context of insurance, finder’s fee may be paid to people who help to connect insurance companies with policyholders, or vice versa.
Insuranceopedia Explains Finder’s Fee
Insurance companies benefit from finding the right policyholders. They are, therefore, willing to pay finder’s fees to the agents and brokers who find find insurance applicants and help them sign up for the insurer’s policies. For example, if a person connects an mortgage insurance company with ten recent mortgage borrowers, the mortgage insurance company may pay the intermediary a finder’s fee for helping the discover these people.
Related Definitions
Related Terms
Related Articles
How to Choose an Insurance Company That Won’t Go Out of Business
What Is an Insurance Broker?
Insurance Self-Service Portal: The Future of Customer Experience
Blockchain’s Impact on Transforming the Insurance Landscape
What Every College Student Should Know About Renters Insurance
Guidance for Nurses: Five Essential HIPAA Compliance Tips
Related Reading
Revealing the Most And Least Popular U.S. Insurance Companies
What Students Need to Know About Insurance Coverage During Internships
A Roadmap for Students Interested in the Insurance Industry
Strong Identity Verification in the Insurance Sector
How to Avoid Online Insurance Scams
How to Get Into the Insurance Industry With a Finance Degree