Bill > SB956

This bill requires insurance carriers to pay the same commission rates to insurance producers (also known as insurance brokers) for selling Medicare supplement policies, regardless of the specific circumstances of the policy sale. Specifically, the bill applies to Medicare supplement policies sold to individuals 65 years and older or under a specific provision of Maryland insurance law (§ 15-909(B)(6)). Previously, commission rates might have varied depending on whether the policy was sold during an open enrollment period, as an underwritten policy, or under certain legal provisions. The bill ensures that insurance producers receive consistent compensation across different types of Medicare supplement policy sales. The new requirement will take effect on October 1, 2025, providing insurance carriers and producers time to adjust to the new commission structure. This legislation aims to create more uniformity and fairness in the compensation of insurance producers selling Medicare supplement policies in Maryland.

Budget and Finance, Health and Social Services

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/SB0956?ys=2025RS