Many carriers have announced their Medicare Advantage and Part D plans will not pay commissions on new sales starting in 2026. According to data obtained by Medicare Market Insights, 675 Medicare Advantage and Part D plans have adopted this approach, impacting approximately 6.4 million members.
This trend has prompted several state insurance departments to issue bulletins addressing unfair trade practices, anti-competitive behavior, and deceptive acts in the Medicare Advantage, Part D, and Medicare Supplement markets:
- Delaware
- Idaho
- North Dakota
- New Hampshire
In general, to maintain fair competition in the market, carriers and producers are prohibited from:
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making enrollment applications difficult to access (printed, online, or through appointed agents)
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discouraging producers from marketing or selling approved products
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modifying or eliminating producer compensation mid-year
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withholding compensation on products that were filed with compensation built into the rate structure
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creating internal policies or incentives that steer consumers away from suitable, approved products