---
title: "What Is Contract Level? Definition | Epic Life Glossary"
description: "A contract level is the percentage tier of a carrier's commission schedule that an agent is paid. A higher level means a larger share of the premium as..."
url: https://epicline.preview.multisites.ai/glossary/contract-level
publisher: Epic Life Group
apply: https://epicline.preview.multisites.ai/apply
quote: https://epicline.preview.multisites.ai/get-a-quote
---

Distribution structure

# Contract Level

A contract level is the percentage tier of a carrier's commission schedule that an agent is paid. A higher level means a larger share of the premium as commission.

## Why it matters

Levels depend on the agent's channel, volume, and the deal with the carrier or IMO. Street level is the base most carriers offer, and higher levels need an upline or special agreement. The same policy can pay two agents different amounts. Always ask for the level in writing for each carrier.

Source: [law.cornell.edu](https://www.law.cornell.edu/wex/commission)

[Read next, for agentsHow do life insurance agents get paid? An honest breakdown](https://epicline.preview.multisites.ai/careers/compensation)

## Where we use this term

-   [Building an insurance agency: how overrides and downlines work, and what is legal](https://epicline.preview.multisites.ai/guides/building-an-insurance-agency-overrides-downlines)
-   [Captive vs independent insurance agent: who owns your book?](https://epicline.preview.multisites.ai/guides/captive-vs-independent-agent)
-   [Your first 90 days as a telesales life insurance agent: a week-by-week ramp](https://epicline.preview.multisites.ai/guides/first-90-days-as-a-telesales-agent)
-   [How to join an IMO: the questions to ask before you sign](https://epicline.preview.multisites.ai/guides/how-to-join-an-imo)
-   [IMO vs FMO vs MGA: which structure fits an independent agent?](https://epicline.preview.multisites.ai/guides/imo-vs-fmo-vs-mga)

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