For the 10th year in a row, Medicare broker commissions are increasing, though the 2025 adjustments will no longer include a fixed administrative fee. CMS has reinstated the regulatory framework under 42 C.F.R. 422.2274(e), allowing payments for services other than enrollment—such as training, customer service, agent recruitment, operational overhead, or assistance with health risk assessments—until pending lawsuits are resolved.
Carriers will pay 2025 commissions like previous years, staying at or below the maximum amounts set by CMS. Commission rates will vary depending on the carrier and plan.
Medicare Part D Commissions for 2025
For Medicare Part D, agents will see the following adjustments:
- Initial Commissions: Increase from $100/member/year in 2024 to $109/member/year in 2025 (+9% YOY).
- Renewal Commissions: Increase from $50/member/year in 2024 to $55/member/year in 2025 (+10% YOY).
The one-time administrative increases of $100 for initial enrollments and $50 for renewals have been removed.
Medicare Advantage Commissions for 2025
Medicare Advantage (MA) commissions will vary by state and region in 2025:
- Connecticut, Pennsylvania, and Washington, D.C.:
- Initial commissions increase from $689/member/year to $705/member/year (+2.32% YOY).
- Renewal commissions increase from $345/member/year to $353/member/year (+2.32% YOY).
- California and New Jersey:
- Initial commissions increase from $762/member/year to $780/member/year (+2.36% YOY).
- Renewal commissions increase from $381/member/year to $390/member/year (+2.36% YOY).
- Puerto Rico and the U.S. Virgin Islands:
- Initial commissions increase from $418/member/year to $428/member/year (+2.39% YOY).
- Renewal commissions increase from $209/member/year to $214/member/year (+2.39% YOY).
- All Other States:
- Initial commissions increase from $611/member/year to $626/member/year (+2.45% YOY).
- Renewal commissions increase from $306/member/year to $313/member/year (+2.29% YOY).
CMS has also eliminated the one-time administrative increases of $100 for initial enrollments and $50 for renewals, consistent with the changes made to Medicare Part D.
