UHC Commissions...Check July & August

[Todd King]

Getting a couple of calls from agents seeing a difference in their July and August statements. Seems there are missing policies on the August report. Check carefully!

 

[kgmom219]

I've got everyone listed but I cannot figure out the logic for when they pay and its driving me batty.

Last week, I didn't get paid on some people and we called the PHD, who told us that its a two week turn. Which made no sense, because it hasn't been a two week turn since June, but whatever.

Then today they are on the commish report, including the person whose app was submitted on Friday, the 29th.

All I want is the logic to how they pay. Any tips or suggestions?

(For the record, UHC Med Supp hasn't been competitive in DFW until this past March. Now they are my preferred carrier, as long I don't get any bitching about AARP and their support of Obamacare. Not kidding.)

 

[sman]

Getting a couple of calls from agents seeing a difference in their July and August statements. Seems there are missing policies on the August report. Check carefully!

This is the one area I wish there was an easy way to reconcile. I usually review my commissions a couple of times each year from all carriers and typically find errors. I just wish there were an easier way to do it. That's probably why I only do it a couple of times each year.

 

[PTAgentInNJ]

I had a problem in July too for one client where they paid for the husband but not the wife and they had a HHD so I looked to see if something had happened to her enrollment. It hadn't and they ended up paying a week or 10 days later for her. Not sure what that was about.

 

[billyb]

I don't even check my commission statements anymore because it would take hours daily to audit each company. Just have to trust them to send me what I am owed.

 

[AMDLG]

I've got everyone listed but I cannot figure out the logic for when they pay and its driving me batty.

Last week, I didn't get paid on some people and we called the PHD, who told us that its a two week turn. Which made no sense, because it hasn't been a two week turn since June, but whatever.

Then today they are on the commish report, including the person whose app was submitted on Friday, the 29th.

All I want is the logic to how they pay. Any tips or suggestions?

(For the record, UHC Med Supp hasn't been competitive in DFW until this past March. Now they are my preferred carrier, as long I don't get any bitching about AARP and their support of Obamacare. Not kidding.)

Hi there,

I worked in PHD for a year. The way commissions are paid can be a bit tricky.

The MAPD plans are supposed to be paid within 14 days of application approval. Most of the time they're paid before then. All new business is processed on Tuesdays and Thursdays, so any plans you've written and are approved are usually paid on the closest of those two days, but they give that 14 day window to allow for processing if things are backed up. These plans are automatically paid out at the renewal rate rate for your state (here in AZ it's 255 for the full year). If the member is eligible for the full true up rate (which is 510 in AZ), being this is their first time ever enrolling into a MAPD plan, then that is paid out after the report from CMS is received and CMS determines that member is eligible for the full true up amount. If they are, then UHC will add that payment to the next new business pay out date. The commissions schedule is available in Jarvis under the Commissions tab and it is color coded to show what is paid and when. Plans are paid out for the months remaining in the year. So, if a member has an effective date of 9/1/2020, then the commission is paid out for September, October, November, and December. That rate is paid out at the renewal rate (as mentioned above). To get the amount for the months to be paid you take the renewal amount and divide that by 12 to get the monthly rate that plan pays. (Example: Renewal rate = 255; 255/12 = 21.25 Use that monthly renewal rate and multiply that by the amount of months left in the year and you will get your commission rate for that plan. (Example: For the effective date above - 21.25 x 4 (Sept-Dec) = $85) If the member is indeed eligible for the full true up amount then you'll get another payout of the same amount initially paid to you, since the renewal rate is half of the true up amount.

For Med Sup Plans, those are paid out in 9 month advances and their rate is the same breakdown as the MAPD plans. Find the rate for your state and whichever plan your member gets enrolled into and divide that by 12 to get the monthly rate and then multiply that by 9 and that is the commission. Now, things get trickier depending on if they're enrolled as Guaranteed Issue, because GI only pays out at 10% of the initial rate. So if the rate for a Plan G is 345, 10% of that is 34.50. That 34.50 is going to be the rate you'll use to get the monthly rate to use for your 9 month payout. (Example: 34.50/12 = 2.88; 2.88 x 9 = 25.92 commission payout for 9 months). Sucks for those GI apps, but from talking to other agents I was told some carriers don't even pay commission on GI apps.

When members terminate their plans you'll get a chargeback on your commission statement. You'll see this as UAD (Unearned Advanced Debt).The deduction is any unused months that you were already paid for. For example if a full 12 months was paid out to you for a member at the rate of 255 and the member was only on the plan for 6 months, then they will deduct 6 months of monthly rate from your future commissions (which using the 255 breakdown above: 21.25 x 6 = 127.50) because you were initially paid out for a full year of the member being on the plan.

I highly recommend opening the statements in Excel format, so you're able to toggle between the commissions tabs at the bottom. I know this was a long response, but the commissions are a pain in the butt! Lol. Hope this helps clarify it a little bit better. I'm available to answer any other questions you may have about it.