Quility is an insurance MLM company. The firm does not disclose a corporate location on its website, although it does declare that it is “Made with love in CA, NC, and NV.”
Quility includes a brief history of the company’s origins:
“While the Quility brand is new, we have been in the insurance business for quite some time. Before joining forces, our agents worked for two of our partners, Symmetry Financial Group and Asurea. We merged our countrywide network of agents to form Quility in 2020.”
Casey Watkins, Brandon Ellison, and Brian Pope are Quility’s co-founders.
Symmetry Financial Group was created in 2009 by Watkins, Ellison, and Pope.
Pope has also been mentioned as a co-founder of Asurea. Pope is listed as Chairman of the Board on Asurea’s website (which is still online for some reason).
This inspired me to search up Symmetry Financial Group, whose website is still up and running.
Quility brand message looks to be all over the place for a transaction about a year and a half ago.
Both Symmetry Financial Group and Asurea, as far as I can tell, were MLM firms.
Casey Watkins remarked in a May 2020 interview:
“Symmetry Financial Group and Asurea have collaborated since the foundation of our organization.”
Given that Brian Pope co-founded both firms, I’m not clear why two companies were necessary in the first place.
Neither Symmetry Financial Group nor Asurea appears to have encountered regulatory issues since their respective debuts.
I can’t comment on the specific MLM opportunities because BehindMLM did not review them.
Today, however, we will delve deep into the current Quility MLM structure.
Quility sells insurance through third-party suppliers. Quility promises to cooperate with “more than 80 insurance carriers.”
“We search over 80 major insurance providers to get you the best coverage at the greatest price”.
Quility’s insurance products include:
- Mortgage insurance;
- Term life insurance;
- Permanent life insurance;
- Last expenditure insurance;
- Debt-free life insurance;
- Disability insurance;
- Critical sickness insurance;
- Retirement solution.
Quility provides no price examples.
To be honest, due to the individualized nature of insurance, they aren’t instrumental in the first place.
The Compensation Plan
I’m basing this evaluation on a “Symmetry Agent Handbook” dated October 2021.
As stated at the beginning of the manual, “driven by Quility.”
However, the paper frequently includes links to Symmetry Financial Group’s website.
I’m not sure why Quility still doesn’t have its compensation documents a year and a half after launching.
The Affiliate Ranks
Quility’s compensation structure includes fifteen affiliate ranks.
They are as follows, along with their respective qualification criteria:
- Sign up as a Quility affiliate if you are a New Agent;
- Seasoned New Agent — in your first six weeks, submit six policy applications;
- Top Producer — have at least $20,000 in policy volume for two months in a row;
- Elite Producer – have at least $30,000 in policy volume for two months in a row;
- Team Leader – for two consecutive months, earn at least $10,000 in personal policy volume and $15,000 in group policy volume, and recruit and retain three New Agents or higher;
- Key Leader – for two consecutive months, earn at least $20,000 in personal policy volume and $30,000 in group policy volume, and build a downline of four New Agents or higher (three must be personally recruited);
- Agency Owner – for three consecutive months, earn at least $30,000 in personal policy volume and $50,000 in group policy volume, be at the 95 percent commission rank;
- Agency Director – attract and retain at least one Agency Owner;
- Regional Agency Director – find and keep two Agency Owners or above;
- Senior Vice President – recruit and retain two Agency Directors and one Agency Owner or higher;
- Managing Vice President – recruit and retain one Agency Director and one Agency Owner or higher;
- Executive Vice President – hire and retain three Agency Directors or higher;
- Associate Partner – hire and retain one Managing Vice President on a 120 percent commission rate;
- Senior Partner – hire and retain two Managing Vice Presidents on a 120 percent commission rate;
- Managing Partner – hire and retain three Managing Vice Presidents on a 120 percent commission basis and one Agency Director or above.
It should be noted that the needed rankings and commission rates of recruited affiliates are the bare minimum.
The Commission Ranks
Commission ranks determine base commissions earned on approved insurance.
- Sign up as a Quility affiliate to save 70%;
- 75% – create $2500 in PV or GV;
- 80% – create $5,000 in PV or GV;
- 85% – produce $10,000 in PV or GV;
- 90% – create $15,000 in PV or GV;
- 95% – produce $20,000 PV or $30,000 GV (across six recruited affiliates);
- 100% – produce $25,000 PV or $45,000 GV (across nine recruited affiliates);
- 105 % – $27,500 PV or $65,000 GV (across thirteen recruited affiliates);
- 110 % – $30,000 PV or $95,000 GV (across nineteen recruited affiliates)
- 115 % – $35,000 PV or $145,000 GV (across twenty-nine recruited affiliates);
- 120 % – $40,00 PV or $225,000 GV (across forty-five recruited affiliates).
PV is an abbreviation for “Personal Volume.” It refers to the insurance volume created by an affiliate.
An affiliate generates PV, and their downline is referred to as GV.
It should be noted that the requisite PV and GV must be maintained for two months in a row.
Also, no more than 50% of the needed GV can come from any single uni-level leg.
Commissions on Policy Volume (first year)
Commissions on Quility’s policy volume are proportional to the commission levels above.
Take note that all written policies are subject to a 120 percent commission. This enables Quility affiliates with a better ranking to receive commissions on downline volume.
These commissions are called “override” commissions and are monitored through a single-tier pay scheme.
In a uni-level compensation system, an affiliate is put at the head of a uni-level team, with every individually recruited affiliate placed right under them:
If any level 1 affiliates bring in new members, they are automatically put on the level 2 team of the original affiliate.
If any level 2 affiliates acquire new affiliates, they are automatically promoted to level 3 and down a theoretically limitless number of levels.
An override occurs when a lower-ranked affiliate sells insurance and gets compensated at their commission rank rate.
An override works as follows: a lower-ranked affiliate sells insurance and receives the equivalent commission rank rate.
If their upline is better rated, they earn the difference in commission rank rate between themselves and the downline affiliate.
Bonuses for Renewal
Quility does not disclose information about insurance renewal commissions.
According to the company’s compensation plan, “this form of the commission is not accessible from all carriers.”
Bonuses for Downline Volume
Quility affiliates may be eligible for a bonus based on downline volume (GV).
Bonus qualification is decided by whether an affiliate qualifies for commission rank based on their volume (Producer) or their downline (Builder).
- Producers must create a minimum of $5000 PV every month;
- Builders must have a 95 percent commission rate and generate $25,000 GV every month;
- Builders with a commission rate of 105 percent or more must generate $35,000 GV every month;
The following extra lead-based qualification also apply:
- PPL of $200 to $249 over a 90-day rolling period = 50% bonus rate paid out;
- PPL of $250 or higher over a 90-day rolling period = full bonus rate paid out $7500 in “max case credit” is necessary;
- PPL is an abbreviation for “paid premium per lead,” representing the average PV produced by purchased leads over the course of a month.
The term “max case credit” is not specified in the compensation contract. I’m not sure what this is.
If the aforementioned qualification conditions are satisfied, bonus rates are determined based on monthly produced PV:
- Generate $12,500 to $14,999 in PV per month and earn a 2% bonus rate;
- Generate $15,000 to $19,999 in PV per month and earn a 2.25 percent bonus rate;
- Generate $20,000 to $24,999 in PV per month and earn a 2.5 percent bonus rate;
- Generate $25,000 to $29,999 in PV per month and earn a 3 percent bonus rate;
- Generate $30,000 to $39,999 in PV per month and earn a 4% bonus rate;
- Generate $40,000+ in PV per month and earn a 5 percent bonus rate.
Per Quility’s compensation literature, a Capital Bonus, “120+ Equity Bonuses,” and “other incentives” are available.
There is no information available on Capital Bonus.
The 120+ Equity Bonus is an option that is activated when a downline affiliate hits the 120 percent commission level.
The term “equity” implies that shares may be issued, but no details are supplied.
Additional incentives include the following:
“Each year, SFG Destination is the highlighted trip, and agents are given a year to qualify for an invitation. Other tournaments, such as the Symmetry Open, November to Remember, and Bonus Lead Bandito, are shorter in duration and run on a more frequent basis throughout the year”.
The preceding paragraph refers to “trips and contests” sponsored by Quility’s insurance carriers partners.
Quility Affiliates must apply for licenses, purchase optional errors and omissions insurance, and pass an in-house exam.
Quility does not charge for any of this.
My main issue with Quility is its lack of openness.
When it comes to insurance MLMs, there’s a lot to take in. Quility does a decent job of describing what they do (obviously a lot), but essential due-diligence considerations are left out.
For starters, there is a significant expense to joining the firm. Licenses, I believe, are necessary, on top of whatever Quility charges.
The failure to disclose these expenditures raises an obvious red flag and may violate the FTC Act (disclosures).
Then there’s Quility’s equity program, which I mentioned as a potential source of concern when discussing remuneration.
While no specifics are given, Quility does provide the following explanation in its compensation glossary:
“Rights to Appreciation in Equity (EARs) let the grantee to participate in a portion of Quility’s value development beyond a floor value defined in an award. These are awarded at the company’s exclusive discretion as a “gift” to the recipient and are subject to the grant’s particular stipulations (including conditions on forfeiture). Recipients must be in good standing at the time of a “trigger event” to be paid on the EARs they possess.”
Someone is undeniably making a concerted effort to avoid using the term “shares” to describe a virtual share scheme.
This is noteworthy since Quility, Symmetry Financial Group, and Asurea are not SEC-registered companies.
Interestingly, Quility doesn’t disclose information about their equity initiative. The “Agent Handbook” of the firm is offered as a synopsis of the “Agency Owner Handbook.”
This condensed version is thirty-six pages long, so Quility isn’t skimping on explanations.
Instead, the equity program’s specifics appear to be deliberate, which raises another red flag for me.
Aside from that, Quility’s compensation looks to be straightforward. You are eligible for a commission rate, you may earn on lower-ranked downline affiliates, and extra bonuses are available.
One stumbling block for compensation is the necessity that Quility affiliates acquire leads and maintain a PPL of $200.
Conversion of company-supplied leads is a significant variable, and connecting it to bonus qualification is somewhat unethical.
Not only that, but Quility will disconnect you if you do not convert their leads:
“To guarantee profitability and continuing participation in the Mortgage Lead Program, agents should maintain a 65 percent or higher issue rate, and a close-ratio of 30 percent or higher. If an agent’s statistics fall below these minimums for two consecutive months, SFG has the right to revoke a standing A lead order.”
Quility’s premium leads are referred to as “A Leads.” The firm provides:
- A Leads – “the most recent sort of leads” (less than 21 days old);
- Overstock A Leads- unsold leads that are more than 21 days old ($9-$13);
- Bonus Leads – leads that have already been sold to existing agents for $7.99 to 50 cents.
There is no explanation offered about DX Leads.
Quility’s pricing for A Lead is as follows:
“The contract level of the agency determines the cost per lead (see the SFG Promotion Guidelines for A lead cost). The linked “SFT Promotion Guidelines” paper provides no cost information for A Lead.”
However, based on the pricing revealed, we may estimate that A Leads cost more than $13 apiece.
That may soon pile up. Oh, and if you don’t convert your purchased A Leads, Quility will likely continue to offer you cheaper leads.
In theory, these leads would be more challenging to convert, so I’m not sure what the rationale is here other than cha-ching.
Quility claims to provide “the finest coverage at the cheapest price in terms of insurance.”
I’m not sure whether or not utilizing the app makes you a sellable lead. If that’s the case, I can understand how it might be aggravating.
The good news is that leads can provide insight into the health of your potential upline’s Quility firm.
You may ask them how many leads they purchased in the last several months and how many converted.
Alternatively, request their PPL (PV divided by how many A Leads they purchased that month).
I’m not a fan of required lead purchases (you must buy leads to engage in Quility’s MLM opportunity fully), but if it’s there, utilize it as a tool before signing up.
Another thing to consider is clawbacks. 120 percent of commissions do not appear out of anywhere. If the policies aren’t terminated, you’re being compensated for future policy payments.
If they are, the firm holds you liable:
“If an agent receives an advanced commission and the customer fails to pay the premium or cancels the policy, the carrier will chargeback the agent’s compensation for any unpaid premium. Chargebacks on override commissions collected for a downline agent’s company can also be imposed.”
The last point I’d want to touch on is Quility’s branding. Why, for example, do Symmetry Financial Group and Asurea still exist if they allegedly merged into Quility?
This was not addressed anywhere. And it is undeniably perplexing.
Was there a merger at all, or was Quility formed as a new brand to promote Symmetry and Asurea under?
If there had been a serious attempt to merge the firms, wouldn’t everything be under the Quility name by now?
Proceed with care.