2016 CMS Part D (PDP) & Medicare Advantage Plan Commissions
In 2016 CMS Part D (PDP) & Medicare Advantage Plan Commissions are higher than in previous years. Part D providers are required to pay the maximum commission rate. This is good news for sales agents.
It’s important to note that the quoted commissions are the CMS MAXIMUM for 2016. Actual 2016 commission could be lower, at the discretion of the plan provider.
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Initial commissions increased for Medicare part D from $56 a member each year to $63 a member each year. That is a 12.5% increase.
Part D Replacement commissions increased from $28 a member each year to $32 a member each year. That is a 14.3% increase.
Medicare Advantage Plan commission payouts will also increase. The commissions are listed below by states within the same rate groups.
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- For CA and NJ, initial MA commissions increased from $510 a member per year to $536 a member per year, which is a 5.1% increase. Replacement commissions increased from $256 a member per year to $268 a member per year, which is a 4.7% increase.
- For CT, PA and DC, initial MA commissions increased from $461 a member per year to $483 a member per year, which is a 4.8% increase. Replacement commissions increased from $230 a member per year to $242 a member per year, which is a 5.2% increase.
- In all other states, initial MA commissions increase from $408 a member per year to $429 a member per year, meaning a 5.1% increase. Replacement commissions increased from $204 a member per year to $215 a member per year, which is a 5.4% increase.
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