UnitedHealth will not pay insurance broker commissions on individual ACA plans

Minnetonka, Minn.-based insurer UnitedHealth Group does not plan to pay broker commissions on the sale of individual health plans in many states where it participates in the health insurance marketplace, according to the Minneapolis/St. Paul Business Journal.

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In November, the insurer said it plans to evaluate whether it will continue to sell on the public exchange in 2017. On Dec. 4, it notified North Carolina brokers of the change in commission policy.

UnitedHealth’s “current actions are consistent with [its] long-stated approach to continually evaluate the dynamics of exchanges as they evolve and adjust to changes in the market accordingly,” a UnitedHealth spokeswoman said to The News & Observer.

The change removes financial incentives for brokers selling the plans, and could signify a future exit from the overall marketplace.

More articles on payer issues:
Cigna CEO: We haven’t made money on ACA marketplace plans
3 major Iowa health systems sign Medicaid contracts
BCBS of Michigan to slash $300M in expenses by 2018

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