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Florida Administrative Code (Last Updated: October 28, 2024) |
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69. Department of Financial Services |
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69O. OIR – Insurance Regulation |
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69O-156. Medicare Supplement Insurance |
1(1) An insurer or other entity may provide commission or other compensation to an agent or other representative for the sale of a Medicare supplement policy or certificate only if the first year commission or other first year compensation is no more than 200 percent (200%) of the commission or other compensation paid for selling or servicing the policy or certificate in the second year or period. However, an issuer on entry, who restricts first agent commission or compensation to 15% or less of the policy premium, may elect not to pay any commission or other compensation to an agent or other representative for the renewal or replacement of a Medicare supplement policy or certificate.
116(2) The commission or other compensation provided in subsequent (renewal) years must be the same as that provided in the second year or period and must be provided for no fewer than five (5) renewal years.
152(3) No issuer or other entity shall provide compensation to its agents or other producers and no agent or producer shall receive compensation greater than the renewal compensation payable by the replacing insurer on renewal policies or certificates if an existing policy or certificate is replaced.
198(4) For purposes of this rule, “compensation” includes pecuniary or non-pecuniary remuneration of any kind relating to the sale or renewal of the policy or certificates including but not limited to bonuses, gifts, prizes, awards and finders fees.
236Specific Authority 238627.6742(1) FS. 240Law Implemented 242627.6742 FS. 244History–New 12-9-90, Formerly 4-51.022, Amended 1-1-92, Formerly 4-156.013.
