Commision rebates

[kneelix]

What is the name of your state?What is the name of your state? CA

Is it legal to ask for whole life policy commision rebates retroactively in California?

I doubt that the agent will want to part with his commissions now that the policy has been sold and has been in force for quite a while, but I'd like to ask anyway provided it is legal.

Thanks.

 

[ALawyer]

As a result of a measure adopted by California voters in a referendum, rebates are no longer unlawful in California. But there are a series of rulings that cloud the issue and some suggest agent can rebate, but if they do they must rebate to all customers, and also many companies have provisions in their contracts prohibiting their agents from giving rebates. (Whether those provisions are lawful or void against public policy is another matter I will not get into at this time.) BUT why should the agent provide a rebate now?