What Is Downline? Definition | Epic Life Glossary

Why it matters

Downline production may earn the upline an override, which is the difference in contract levels. That can build income beyond personal sales. It also brings duties such as training and, in some deals, shared responsibility for chargebacks. Terms are contract-specific, so get them in writing. Some arrangements are regulated or restricted by state law.

Source: naic.org

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Related terms

Upline: An upline is the agent, agency, or organization above another agent in the contracting hierarchy. The upline often provides training, contracts, and support, and may earn an override.
Override: An override is extra commission an upline earns on the sales of agents beneath them. It is often the gap between the upline's contract level and the writing agent's level.
Hierarchy: A hierarchy is the chain of contracts that links an agent up through agencies or marketing organizations to a carrier. It decides who earns what from each sale.
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.
Agency Owner: An agency owner runs an insurance agency as a business, holds or arranges carrier contracts, and may recruit and manage agents. The owner is responsible for licensing and compliance.

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