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Why is it a good idea or bad idea to work for them as a new agent?
Unless they have changed the manner in which they assign leads (managers get first pick) I would advise you to find somewhere else. You can set yourself up as a broke for someone such as Network Insurance and get appointed with lots of carriers.
How long ago did they do this? And how do I find out if it's different now?
My experience with HealthMarkets would be that they seemed pretty shady 10 years ago
They are now set up as a seller of all plans so that you or your customer can do a comparison. Except you will never see the lead until it has been worked over by your upline 6 ways to Sunday.
One of their managers once told me to write a care plan for my family so that I could generate a commission and then stop pay on the check so my account would not get dinged for the premium but I would have almost immediate access to the commission generated. I did not need a healthcare plan but he insisted that this was an acceptable practice in the company and I would get to see what the policy looked like which went out to customers. He was foolish enough to put everything into an email he sent me and I was able to use that document to get out from under any chargeback I had when I left.