Medicare Commission Changes and Regulatory Response

This fall, many carriers announced that 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 current 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 – Bulletin 162

Idaho – Bulletin 25-06

North Dakota – Bulletin 2025-2

New Hampshire – Bulletin INS 25-082-AB

In general, to maintain fair competition in the market, carriers and producers are prohibited from:

• making enrollment applications difficult to access (printed, online, or through appointed agents).

• discouraging producers from marketing or selling approved products.

• modifying or eliminating producer compensation mid-year.

• withholding compensation on products that were filed with compensation built into the rate structure.

• Creating internal policies or incentives that steer consumers away from suitable, approved products.

Regulators in these states are actively monitoring the market, and violations may result in enforcement actions.