Commission on MedSupps - Guaranteed Issue vs Replacement

JJ2713

Guru
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My area is pretty much all MAPD, but I'm looking at MedSupps in case someone wants one for whatever reason.

There seems to be a huge difference in commissions for MedSupps for "Guaranteed Issue" and "Replacement".

I know there are only a few times when a MedSupp is guaranteed issue, like the 6-month period following Part B effective date. And replacing a MedSupp requires health underwriting.

I'm not sure if it's just the carriers I'm looking at or what. Can someone please clarify this.
 
I believe I found my error.

The commission tables say "guaranteed issue" and I was puzzled. I knew there was a difference between the MedSupp Open Enrollment Period and the separate Guaranteed Issue periods.

However, I guess the the MedSupp Open Enrollment is considered different (commission-wise) from the Guaranteed Issue times, even though technically a MedSupp is "guaranteed issue" during the MedSupp Open Enrollment.

Please clarify anyway if you can.
 
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I believe I found my error.

The commission tables say "guaranteed issue" and I was puzzled. I knew there was a difference between the MedSupp Open Enrollment Period and the separate Guaranteed Issue periods.

However, I guess the the MedSupp Open Enrollment is considered different (commission-wise) from the Guaranteed Issue times, even though technically a MedSupp is "guaranteed issue" during the MedSupp Open Enrollment.

Please clarify anyway if you can.
The 6 month Open Enrollment following the Part B effectice date is GI, but not where commissions are concerned. Full commissions are paid for Open Enrollment.

There are a few states that require full comp be paid on true GI. There are a few companies that pay full comp on true GI...you'll just have to check.

Use the search feature. We just had a discussion in a thread about this a couple of days ago.
 
My area is pretty much all MAPD, but I'm looking at MedSupps in case someone wants one for whatever reason.

ere seems to be a huge difference in commissions for MedSupps for "Guaranteed Issue" and "Replacement".

I know there are only a few times when a MedSupp is guaranteed issue, like the 6-month period following Part B effective date. And replacing a MedSupp requires health underwriting.

I'm not sure if it's just the carriers I'm looking at or what. Can someone please clarify this.

The guaranteed issue that pays reduced commission is only when the can only choose from a couple of plans. Usually Plan F or B. This happens when someone is exercising their GI option when going from 1-year on Med Advantage back to original Medicare most commonly.

The other common one is if they lose their employer plan BUT already had Part B. I’ve had several where they didn’t even need Part B on their employer plan but took it and paid the premiums for a couple of years. They not only paid out money unnecessarily but screwed themselves out of delaying their initial enrollment option. If they retire later due to health reasons (common with people who work past age 65) they will be limited to the few GI options and usually take the Plan F in that situation. These cases need the most agent assistance because they truly don’t understand any of it (that’s why they screwed up) and the agent gets paid peanuts on those cases.

When you run into a GI situation, if they are healthy just explain the advantage of going with Plan G instead of F and you will be paid full commission. If they are unhealthy, write them their F and just trust that they will refer a friend to you someday.

But new to Part B or turning 65 is not called GI even though they can get any plan they want with no health questions. That is called initial enrollment and always pays full commissions. Just make sure on the app where it asks Is this plan bought during a guaranteed issue period you check “No” which is correct.

They could make their terminology less confusing. But that’s our government for you.
 
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