greater concern in this business is the diminishing or disappearing commissions on Med Supps after 5 or 6 years.
Keeps you active in the business rather than living off residuals.
I have been in the health insurance business as an agent for over 30 years and several more before that as a wholesaler on salary + bonus.
Individual major med was usually offered on a hi-low commission, 1 year or 3 at the high rate. Same was true for small group with 3 years being more common. Large group plans typically paid a flat level commission.
MA plans are unique with their bottomless bucket of commissions + the ability to churn policyholders without underwriting. I guess that is a good business model as long as policyholders don't care about being forced to let an insurance carrier direct their care and change plans almost every year.
FWIW, my cash flow has grown almost every year since 1993 when I left the corporate teat and went on straight commission.
I had a major drop in 1997 when my primary carrier went out of business and it took a few years to regain lost ground. This was followed with a very slight drop in compensation in 2014 when Obamacare went live.
Being hungry from time to time is a good thing for business. Keeps me on my toes