At Zero Bullshit Insurance, we are a “no bullshit” zone. This means that anything you want to know about Medicare or our agency is completely available to you, including how Medicare agents are paid and why our services are completely free to you.
With that being said, let’s get into it.
What Are Commissions Used For?
Medicare agents have a commission-based salary, with multiple factors playing into how much they get from selling Medicare policies. Here, you will see what the commissions are used for, where they come from, and what affects the amount.
Commissions contribute to more than just an agent’s bills. Agents use this to help cover items such as office expenses and advertising. The personal expenses ultimately come last.
Where Do The Payments Come From?
What you spend on your Medicare policy already goes toward commissions. It’s not like in other sales-oriented professions where you’re subject to upselling and inflated prices. Agents get their money from a portion of the monthly premiums you pay. And for agents working for one insurance company, they also receive a salary.
What Are Factors Contributing To Payment Amounts?
There are a few contributing factors to how much an agent earns. First, how much an agent can earn is capped by the Center for Medicare & Medicaid Services (CMS). Regulations for how much an agent can earn are also dependent on the state. This works for the best interest of everyone involved, as this keeps Medicare policy prices from being overly inflated and unaffordable.
Agents are also paid according to whether you renew your policy, or you choose to switch over to a new policy. Agents earn slightly more for issuing brand new policies, but you will not have to worry about an agent trying to convince you to switch to an ill-fitting plan out of greed. They still get paid for renewing existing policies.
Have More Questions? We Have The Answers!
At Zero Bullshit Insurance, we take pride in giving you the facts. We have no biases nor ulterior motives. We’re an honest, hardworking agency with agents who take pride in what they do. It’s not about convincing you to join a plan that makes us money – it’s about giving you a chance to get a policy that gives you what you need.
Don’t just settle with agents who don’t care about you or your needs. Work with those who care.
