How can agents and brokers earn commissions from Marketplace plans?

Agents and brokers earn commissions from Marketplace plans primarily through receiving commissions from insurance carriers for enrollments. This means that when an agent or broker assists a client in enrolling in a health insurance plan available through the Marketplace, the insurance carrier compensates the agent or broker with a commission based on the enrollment.

This system encourages agents and brokers to help consumers navigate their options in the Marketplace and find plans that meet their needs. The commissions are typically calculated as a percentage of the premium paid for the insured individuals who enroll in the plan through the agent or broker.

Options involving charging clients directly, fixed fees set by the FFM, or discounting services do not reflect the established compensation structure for agents and brokers working with Marketplace plans. The involvement of insurance carriers in providing commissions is a fundamental aspect of how agents and brokers operate within this framework.