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clock Created with Sketch. 13/09/18
14:26
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Originally posted by ReXXar
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I'm not sure if you understand what TC is, they're not commission. TC is for the lifetime of the product, a perpetual revenue share of the policy, naturally the premium increase in value over time as people get older, unless the policy is terminated. When Freedom sells a product, it also gets one-time up-front commission which covers its costs of acquiring that policy. In FY18 they increased TC by $30m and got an additional $30m commission for doing so.
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Sorry, my point was that policy cancellation would be high reducing the value of the previously sold policies for freedom.
