Laws about referral fees

[VaDwayne]

In Virginia, you can only pay up to $25 for referrals to people who aren't licensed. It can't be contingent on the sale either.

LIS > Code of Virginia > 38.2-1821.1

Are you sure? I don't pay them but where are you getting $25?

 

[sman]

I don't think you have anything to worry about if they are Med Supp clients. However, if you were to sell someone a MA or PDP, a $15 gift card isn't allowed. The gift can't have a value of more than $15 and it can't be convertible to cash. CMS considers a gift card the same as cash.

I don't think the clients are likely to report you, but gift cards are a no-no if they are MA or PDP clients. .

I have a couple that has sent me over 6 supplement deals in the past 2 months. I am going to send them 2 Wal Mart Gift cards for $15 each (the CMS max for seniors is $15 per person).

Any thing I should worry about? They have no idea that the cards are coming.