What must happen when a member changes plans during their initial year?

When a member changes plans during their initial year, the agent is compensated at a pro-rated initial year rate. This means that if a member switches their plan within the first year of enrollment, the agent who facilitated the member's initial sign-up will receive a commission that reflects the portion of the year the member was enrolled in that particular plan.

This approach ensures that agents are fairly compensated for their efforts in helping clients navigate their choices, while also aligning the compensation structure with the length of time the member is enrolled in the plan. It is an incentive for agents to provide ongoing support and service, as they are rewarded based on the time a member remains with a particular plan. Therefore, pro-rating the commission helps balance the needs of both the member and the agent in an evolving Medicare landscape, where plan changes can occur based on the member's needs or preferences.