We recently started processing and paying administrative fees for January 2017 enrollments submitted during the Annual Election Period (AEP).
Information on administrative fee payments can be found in the Aetna Medicare Producer Guide and in Appendix A of your 2017 Aetna Medicare Marketing Agreement (i.e., contract). Rates are in the Schedule 1 attached to your contract.
Here’s a quick look at how we pay administrative fees:
- Initially, you’ll receive a partial payment (i.e., the renewal rate) for all enrollments up front. This partial payment amount is the renewal rate in effect as of the policy effective date.
- If CMS confirms that enrollments qualify as “initial sales” (i.e., if enrollees are “new to Aetna” or “new to Medicare”), you will then receive a true-up payment for the remaining amount owed (either the replacement rate or the initial sale rate).
- For 2017 effective enrollments submitted during AEP, the first true-up payment will occur the 3rd week of January.
By paying this way, we’re able to eliminate large chargebacks for overpaid amounts in January.
As a reminder, all writing agents, uplines and payees need to be “ready to sell” in order to be eligible to receive administrative fees for 2017 new and renewing Medicare business. For details, please see your contract and the Aetna Medicare Producer Guide on Producer World.
We are dedicated to continually improving our commission process and want to thank you again for your invaluable feedback.
Thank you for your partnership
If you have any questions, please contact the Aetna Medicare Broker Services Department at 1-866-714-9301 or firstname.lastname@example.org.
Update: 2017 Individual Medicare administrative fee payments