Looking for info on FMO's and their true value in the ACA Landscape

[Tkruger]

Good evening all!!

So after about 3 month jumping back into this dumpster fire, I'm finding myself asking....what is an FMO's roll in this mess?

The particular FMO I am with right now is the one that is paid my ACA commissions.

Going back to March, I've not received one payment. In all fairness, March was light, April was launch and there are dozens of apps showing in back office as active and still no comp. May was even bigger.

Just not identifying the value at this point. Back when ACA was first unleashed on the world, I had direct contracts with the companies. Is this not still an option?

TIA everyone!!

 

[TxJohnny]

I'm surprised this post hasn't gotten more attention.

I just recently certified in expectation of adding ACA to my final expense business. Now in the process of contracting with carriers I am encountering several FMO assignment of commissions contracts that I don't want to sign.

Is this SOP for this marketplace? Will it be the same if I IHIP certify to offer MA plans for 2024 as well?

30+ years in the industry and I feel like a rube stumbling about in the big daunting city. Who has a map I can borrow?

 

[Michelle B]

I will be following this thread. There is a lady named Cassie at Agent Pipeline that helped me setup for ACA. I signed up for the help on demand also. Patiently waiting and not fully understanding.

 

[Jim Wright]

Hi Everyone,
The commission issues sometimes stem from the FMO and sometimes from the carrier. There are FMO's out there that will have the carriers pay commissions direct to the brokers. However, there are some ACA carriers (Ambetter for example) who will only pay commissions to the FMO. In some cases, it can be beneficial if the FMO gets paid, as long as they pay the full street commission amount and are transparent about the commissions that are received.

In the end, choosing an FMO is more about how they can help you grow and manage your business and when vetting FMO's make sure to interview them on how they can help with the things you care about.

 

[Michelle B]

Thank you Jim. Sounds like join FMO's that pay brokers directly from carriers, correct?

 

[Jim Wright]

Thank you Jim. Sounds like join FMO's that pay brokers directly from carriers, correct?

I don't want to say that you should join one or the other. It's just what you're comfortable with. Some brokers like that the FMO handles their commissions because they don't have to keep track of anything. I would just advise that you make sure there is a good relationship with transparency and trust.

And I do want to remind you that in some cases, the carrier decides who should get paid commissions so it's not up to you or the FMO anyway.

 

[wehotex]

Good evening all!!

So after about 3 month jumping back into this dumpster fire, I'm finding myself asking....what is an FMO's roll in this mess?

The particular FMO I am with right now is the one that is paid my ACA commissions.

Going back to March, I've not received one payment. In all fairness, March was light, April was launch and there are dozens of apps showing in back office as active and still no comp. May was even bigger.

Just not identifying the value at this point. Back when ACA was first unleashed on the world, I had direct contracts with the companies. Is this not still an option?

TIA everyone!!

I have not written too much ACA, but I am always finding The Brokerage to be extremely helpful with all of my questions over the past year. My existing Aetna ACA contracts are paid through the carrier.

 

[wildflowerwealth]

I have not written too much ACA, but I am always finding The Brokerage to be extremely helpful with all of my questions over the past year. My existing Aetna ACA contracts are paid through the carrier.

Which FMO are you with if I may ask kindly?

 

[Tahoe Ray]

Which FMO are you with if I may ask kindly?

He said it. The Brokerage.

They're based out of Texas (I'm assuming that's who he's referencing).

Good people.

 

[Michelle B]

Thank you all for the advice going to the brokerage