The Centers for Medicare and Medicaid Services (CMS) has just announced the maximum Fair Market Value (FMV) broker commissions allowable for contract year 2017. Please be aware that carriers are not obligated to pay the maximum allowable amount. We are sharing this information so that you will be aware that the FMV for initial commissions will be increased by 3.2% in most states. Insurance carriers usually publish their actual commission schedules in late summer.
Annual certification is still required with a passing grade of 85% in order for new and renewal commissions to be paid.
The entire memo can be viewed by clicking here.