Every RWI policy already includes a broker commission, paid by the insurer out of the premium. Some retail brokers add a separate fee on top. Before agreeing to one, it is worth asking what that second fee is for.
RWI premium is quoted gross of commission. The insurer pays the placing broker out of that premium — typically in the high single digits as a percentage of premium — whether the buyer ever sees the number or not. That is the standard compensation for placing the policy, negotiating the form, and supporting the claim.
Some retail brokers add a separate fee on top of that commission. Sometimes the work justifies it. Sometimes it does not. The point of this note is not to argue that the additional fee is never warranted — it is to suggest that buyers should be able to say, in plain terms, what they are paying for.
WolfTRI's licensed producer places RWI through a U.S. licensed wholesale platform and is compensated by the insurer-paid commission embedded in the premium. We do not charge a separate retail broker fee on top. That is a structural choice, not a marketing line: the platform gives us access to the same insurers and the same coverage, on what we describe as wholesale pricing.
What is included in the insurer-paid commission already embedded in the premium — placement, form negotiation, claims support — and what does the separate fee add on top of that?
Is the additional fee tied to specific scope — e.g., bespoke policy drafting, multi-jurisdictional coverage, an unusual structure — or is it a flat charge applied to every placement?
How does the all-in cost compare to a placement without an additional broker fee, on the same insurer panel and the same coverage terms?
Is the fee disclosed in writing, before binding, as a separate line item from the insurer-paid commission?
These are not gotcha questions. They are the kind of questions a fiduciary buyer asks about any cost layered into a transaction. If the answers are clear and the value is there, the fee is earned. If they are not, the buyer has a basis to push back — or to seek a placement structure that does not include the additional fee.
See the math on RWI without an additional retail broker fee · or read our primer on RWI for real assets.
Disclosure
General market commentary; not legal, tax, or insurance advice. Commission ranges reflect customary market practice; specific terms vary by insurer, deal, and placement. WolfTRI is an independent firm; no affiliation with or endorsement by any insurer or other broker is implied.