CoventryOne in North Carolina 2014 Commisions

[WellSec]

Agents for CoventryOne in North Carolina just got their first commission statement yesterday on 2/28/2014 for ACA business yesterday, meaning for all health plans written on exchange with an effective date from 1/1/2014 onward.

To our horror, they are paying 5% or 8% not on the whole premium, but only on the non-subsidy portion of the premium. That means many policies are having commissions of $0, pennies, or just a few dollars.

No one could write enough business to survive on this, and their primary competitor, Blue Cross Blue Shield of NC are paying 10x as much!

Good bye CoventryOne?? Having been bought by Aetna last year, it must me Aetna that is ultimately accountable for this. There will be a tremendous loss of faith in this insurance company.

 

[Yagents]

The government hasn't paid the tax credit yet to the insurer. When China sends us money, you will get the rest of your commission. All companies are in this situation. Chill

 

[WellSec]

That sounds believable! I hope that's all it is! I feel a bit of an *** now.

BCBSNC paid on the whole premiums. I wonder did the government pay them but not Coventry or did BCBS just pay out anyway even though they hadn't got the money yet.

 

[Yagents]

I just got my first statement from Cigna, and I was paid on the client's portion and the APTC. I think Cigna is fronting the expected money from the gov't, as it states "estimated aptc amount" broken out on a separate line (for just Jan/feb biz). March biz for the client portion was paid, but not the estimated APTC amount.

About 10% of the total premium was not paid on, probably due to the exchange fees/taxes being taken out first, like some other carriers are doing, but not all.

Thank you to CIGNA for actually backing the broker, fronting the money, as we try to survive this period of time of not getting paid.