What are Medicare Advantage Commissions 2021? This depends on the state in which you write business, as well as the effective date of the policy. CMS creates a standard amount as a maximum allowed that most carriers use as their commission amount for that year. The commission amount will change from year to year, typically increasing, but you’ll want to check every year to ensure you’re being paid Fair Market Value (FMV).
Where to Find your Medicare Advantage Commissions 2021
Every carrier will release its commission schedule for the upcoming AEP sometime in July or August. You can contact your Sales Director for a copy of your commission schedule for each carrier. Some carriers will require you to sign an amendment every year, while others will simply notify you of the change. It’s important to note how the carrier differentiates payment for those who are New to Medicare, changing from one Medicare Advantage plan to another, and internal plan changes. You may receive a higher commission when enrolling a client electronically in some situations.
What are New-to-Medicare Commissions?
A Medicare beneficiary (potential Medicare client) is someone who is receiving their Part B for the first time. This entitles you to the First Year (initial) commission for that client. This is the only time that the first-year commission is paid. This will be paid in two lump sums. Your first payment amount will always be as if the client was not New to Medicare. After CMS verifies the person is in fact new, they notify the company, who then pays you the remainder of the commission. Renewal commissions for these plans are paid monthly, at the renewal amount, starting in January the following year.
What are the Changes to Medicare Advantage Commissions 2021?
CA and NJ
- Initial MA commissions increased from $636/member/year to $672/member/year.
- Renewal commissions increased from $318/member/year to $336/member/year.
CT, DC, and PA
- Initial MA commissions increased from $574/member/year to $607/member/year.
- Renewal commissions increased from $287/member/year to $304/member/year.
Puerto Rico and the U.S. Virgin Islands
- Initial MA commissions increased from $350/member/year to $370/member/year.
- Renewal commissions increased from $175/member/year to $185/member/year.
In all other states, initial MA commissions increased from $510/member/year to $539/member/year. Renewal commissions increased from $255/member/year to $270/member/year.
2021 Medicare Advantage Commission Chart
|CT, PA, & DC||$574||$607||$287||$304|
|CA & NJ||$636||$672||$318||$336|
|Puerto Rico & U.S. Virgin Islands||$350||$370||$175||$185|
For more information on Medicare Advantage Commissions 2021 and one-on-one support, click here to contact your Sales Director.
1 (800) 772-6881 x7731 | email@example.com