Commission Schedule Transmittal (CST)

CST helps the insurance marketplace address data needs that support the compliant disclosure of earned commission schedules for annuity-related transactions.

• Overview

  Licensed insurance financial professionals play a vital role in the complex world of the life insurance and annuity industry by connecting investors with the right insurance product to protect their retirement assets. The types of commissions financial professionals earn differ based on the products they sell and on the specific type of transaction involved. DTCC created Commission Schedule Transmittal (CST) to help the insurance marketplace address data needs that support the disclosure of the earned commissions on transactions.

  CST helps streamline the data submission and access process for carriers and distributors. Using a mainframe connection, insurance carriers or vendors, on behalf of the carrier, can electronically send multiple, complex, standard and custom commission schedules for annuity products. DTCC will process, store, and if applicable, forward data to their trading partners. The data is stored in the Insurance Information Exchange (IIEX) for consumption by distributors via the DTCC Web Portal, API or batch file delivery.

  The service replaces point-to-point data exchange methods, which can vary firm to firm, with a fully automated process – providing the transparency needed for compliance.

• Benefits

  • Supports insurance carriers’ ability to deliver proprietary and standard commission schedules at the product or policy level to their distributor trading partners.
  • Eases compliance efforts while lowering costs associated with industry regulations by– allowing distributors on-demand access to the data for disclosures, including direct and indirect expense reporting.
  • Creates new efficiencies by giving distributors the ability to pull standardized, ACORD-formatted data from multiple carriers into a single platform – eliminating the need to support and maintain proprietary feeds or databases.
  • Reduces risk of errors associated with manual data exchange and processing.
  • Improves distributor, carrier, advisor and customer relationships and satisfaction by increasing speed of data delivery and creating standardized processes.

• How The Service Works

  Using CST, carriers can submit, and maintain their standardized or firm specific proprietary commissions schedule data. That data is stored in DTCC’s Insurance Information Exchange (IIEX) for on-demand consumption by distributors via the DTCC Web Portal, API or batch file delivery.

  

• Who Can Use The Service

  CST is available to firms that are members of DTCC’s National Securities Clearing Corporation (NSCC). Visit dtcc.com/client-center for information on how to become a member of NSCC.