Insurance chargeback calculator
Enter a policy and the month the premium stopped. The calculator shows what was advanced, what the premium actually earned, and the difference — which is the part that comes back.
How this is worked out
Commission = annualized premium × first-year rate. Advanced = commission × advance rate. Earned = commission × (months paid ÷ 12). Charged back = advanced − earned, floored at zero.
That is the unearned-commission model — the quantity every carrier schedule is an approximation of. Most carriers actually use a declining table rather than strict pro-rata, and the shape varies by carrier and product, so treat this as the underlying logic rather than your exact statement. Your contract has the real schedule.
Terms used here
ChargebackWhat is a chargeback in insurance?Commission advanceWhat is a commission advance in insurance?As-earnedWhat does as-earned commission mean?PersistencyWhat is persistency in insurance?
Longer read: /blog/insurance-commission-advances-chargebacks