Commissions----what Happened?

[Davis B]

Hi all,

I see some had online meetings with some of the Big carriers and apparently they PUT OFF the new Commission Schedules....AGAIN ? ? ?

Nice (sigh)

So what's everyone opinion on what will be paid?

• -10%, or a percentage
• -Flat Fees?

Me thinks it will be some kinda Flat Fee Schedule from here-on out. BUT this doesn't address past commissions issues.


What's your take?

 

[TonyC]

No answer...that means you get nothing!

 

[FLM2]

In Florida, the company of a royal color will be paying PMPM in a similar manner to the current structure.

I've heard % from the C (unofficially) with a pretty good renewal rate

The other companies on the exchanges who are also extending plans to the end of 2014 would have to pay in a similar manner for both options, I would think.

Humana will let us know in the next webinar in October, the other guys probably about the same time.

It's frustrating because planning is difficult but I believe it will be a good deal for agents, at least for the next couple of years.

 

[Quotebroker]

Anthem CA said today " in the next month or so" we'd have comp. Lot of wiggle room in "or so"

 

[Dave020]

Word around the "campfire" in CA......

DMHC told Blue Shield that their agent comp proposal was unacceptable (about a month ago) and to re-do it.

Blue Shield had submitted PMPM flat comp rates for IFP, DMHC instructed them that it has to be % commission.

Also noted in the Ventura County Health Plan article today that one of the factors for withdrawal from Covered CA was inexperience in agent contracting and comp. Take that FWIW but I am hearing that all contracted health plans have to pay agent comp including the county plans. This carrier contracting info is not solid info yet but it's making the rounds.

Just some scuttlebutt

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Anthem CA said today " in the next month or so" we'd have comp. Lot of wiggle room in "or so"

I don't think they feel it's going to stray that much.

One thing I got from my former Anthem RSM and reiterated in that e-blast has to do with 2013 comp.

According to what I was told, current comp rates apply (FY) to all 2013 business with Anthem for the full 12 months initial on the policy even if they move to a new spiffy O-Care plan in January.

So, if you're writing FY 12-14% with Anthem now anything you put on the books this year (2013) pays out at that rate through the 1 year anniversary of the plan even if they move to metalicized during OEP.

 

[Quotebroker]

So, if you're writing FY 12-14% with Anthem now anything you put on the books this year (2013) pays out at that rate through the 1 year anniversary of the plan even if they move to metalicized during OEP.

Interesting. So at month 13 of business written in 2013, they change the comp from 2013 levels to Ocare levels? Seems like a headache, but good for us.

Any idea on whether or not comp will continue to be tier-based and tied to production?

 

[CHUMPS FROM OXFORD]

8%-12%...Or...$15 per month per enrollee with a max.

 

[Dave020]

Any idea on whether or not comp will continue to be tier-based and tied to production?

None. we'll have to wait and see what they come out with for 2014.

 

[Dave020]

Interesting. So at month 13 of business written in 2013, they change the comp from 2013 levels to Ocare levels? Seems like a headache, but good for us.

Contractual obligation. Anthem can't (and won't) retroactively change the terms of the current contract. Current contract specifies 9/10/12/14% tiered FYC on all new sales of underwritten IFP plans for the full first year. They can't change that without 30 days advanced notice of change. Unless they make a change in
sales comp during the remainder of 2013, anyone you write up to 12/13 would be locked in for you FYC at your appropriate tier level commission until the 12 month anniversary even if they move to a PPACA compliant plan on 1/1/14.

 

[Norwayguy]

I seem to remember years ago when I first started visiting the forum there was an AEP where CMS continued to change what carriers would pay for commissions so that it was almost the end of AEP before people know what they were going to be paid on work done months before.