---
title: "What Is Trail? Definition | Epic Life Glossary"
description: "Trail is an ongoing commission paid on a policy or account after the first year, often a small percentage. In life insurance, people use it for renewal..."
url: https://epicline.preview.multisites.ai/glossary/trail
publisher: Epic Life Group
apply: https://epicline.preview.multisites.ai/apply
quote: https://epicline.preview.multisites.ai/get-a-quote
---

Compensation

# Trail

Trail is an ongoing commission paid on a policy or account after the first year, often a small percentage. In life insurance, people use it for renewal pay, and in annuities it can follow assets.

## Why it matters

Trail income can build over time and help smooth cash flow. The exact name and terms vary: some carriers say renewal, others say trail. Check how long it is paid, if it vests, and what happens if you change agencies. Agents should not assume trail is guaranteed, since it ends if the customer cancels or the contract says so.

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

-   [Captive vs independent insurance agent: who owns your book?](https://epicline.preview.multisites.ai/guides/captive-vs-independent-agent)

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