Medicare Advantage Commissions 2021
Medicare Advantage Commissions 2021 have been announced.
Maximum commission amounts are CMS dictated. Commission rates are evaluated each year. Insurance carriers are not required to pay the maximum commission rate to agents.
Medicare advantage and PDP carriers pay commission on a 12 month advance. There are some Medicare advantage carriers that do not pay on an advance but instead pay on an as earned basis.
2021 Part D commissions have risen 3.85% for new business and 5.13% on renewals.
Medicare Advantage commissions have increased almost 6%. Advantage commissions are state and region specific.
Maximum Broker Compensation for 2021
|CT, PA, DC||$574||$607||5.75%||$287||$304||5.92%|
|Puerto Rico, U.S. Virgin Islands||$350||$370||5.71%||$175||$185||5.71%|
How Medicare Advantage commissions 2021 are paid
Medicare Advantage and Part D rx plans pay based on the type of enrollment that is used. If someone is new to Medicare, the agent will get the full commission without an pro-ration. The renewal will be as earned and will start in January. This makes the compensation on late year new to Medicare cases worth more than sales earlier in the year because the renewal will start in January regardless.
If the prospect is not new to Medicare but they are new to Advantage, a full commission is paid but it will be pro-rated based on the month it was placed.
An MA/MAPD to MA/MAPD sale pays the renewal commission only and is also pro-rated.
Choose an FMO with your best interest in mind. We do NOT cut commissions. All of our agents are paid full street commission, or higher! Commissions are paid directly from the carriers. And, you own your book of business.