FMO, IMO and MGA
Also called: FMO, IMO, MGA, upline, insurance hierarchy, downline
FMOs (field marketing organizations), IMOs (insurance marketing organizations) and MGAs (managing general agencies) are intermediaries between carriers and independent agents that provide contracts, support and higher commission levels.
An agent's upline is the chain of organizations above them, and their downline is the agents below. Each level in the hierarchy can earn an override on business written below it.
For agencies, the hierarchy decides contract levels, overrides and who supports them with carriers.
Commission data only makes sense with the hierarchy attached: who wrote it, who is above them, and who gets paid what.
"Our FMO holds our carrier contracts and earns an override on the business we write."
What is the difference between an FMO, IMO and MGA?
All three sit between carriers and agents, offering contracts and support. FMO and IMO are often used interchangeably, sometimes by product focus, while MGA is a long-standing term for an agency that manages agents for carriers. Exact roles vary.
Related terms
On Kevlex Digital: Independent insurance agency