Skip to main contentA distribution request is a formal application that retail brokerage firms submit to gain access to specific insurance products. Unlike wholesale firms that automatically receive access to all products, retail firms must request permission for each product they want to sell. This controlled access system ensures that only qualified retail firms distribute specific insurance products.
When a retail firm wants to add a new insurance product to their portfolio, they create a distribution request. The insurance carrier or wholesale firm reviews the request and decides whether to grant access. Once approved, the retail firm can begin selling that product to customers.
Distribution Request States
Distribution requests move through a defined workflow from submission to final decision:
State Progression
Pending:
- Initial state when retail firm submits the request
- Awaiting review by insurance carrier or wholesale firm
- Retail firm cannot sell the product yet
- Reviewer evaluates firm qualifications and business fit
Signature Required:
- Request has been approved in principle
- Formal distribution agreement must be signed
- Legal documentation of business relationship
- Final step before product access is granted
Approved:
- Distribution agreement signed and finalized
- Retail firm has active access to the product
- Brokers within the firm can now sell the product
- Product appears in the firm’s available portfolio
Denied:
- Request has been rejected
- Retail firm has no access to the requested product
- Firm must address concerns before resubmitting
Revoked:
- Brokers from the firm can no longer create new policies for the product, but can still manage existing ones
- Occurs when business relationships change or performance issues arise
State Transitions
Key Rules:
- Only retail firms can submit distribution requests (wholesale firms have automatic access)
- Each request is for a specific insurance product
- Approved access can be revoked if business conditions change
- Denied requests can be resubmitted after addressing concerns
