Effective July 1, 2025, UCare will suspend new business commission payments on the products listed below. This decision was not made lightly and reflects their ongoing efforts to ensure the long-term financial health and sustainability of our organization.
Additionally, effective June 1, 2025, UCare will no longer accept new orders for 2025 Medicare materials that support any of the affected products.
We have outlined key details and FAQs to help guide your next steps.
UCare Products Affected by Commission Changes (Effective July 1, 2025):
HMO-POS Plans: Value, Value Plus, Aware, Essentials Rx, Complete, Classic, Standard
PPO Plans: Your Choice, Your Choice Plus
D-SNP Plans: Connect + Medicare
Medicare Supplement Plans: Basic, Extended Basic, $20/$50 Copay
UCare Plans NOT Affected by This Action
- UCare Individual and Family Plans (both On and Off Exchange)
- UCare’s MSHO (Minnesota Senior Health Options) program
Frequently Asked Questions (FAQ)
1. When do these commission changes take effect?
- July 1, 2025 – UCare will suspend commissions for new business on affected products.
- June 1, 2025 – Agents can no longer order 2025 Medicare materials for the affected products.
2. Will this change impact renewal commissions?
UCare has stated that this will NOT affect renewal commissions on any existing business or new business written before July 1, 2025 at this time.
3. Since UCare pays monthly commissions, there are policies effective 1/1/25 and beyond that haven’t paid out the full first year yet. If there is a policy effective 1/1 ,will agents stop receiving commissions in July since it’s a first year/new policy?
No, this is only for business written with an effective date of 7/1
4. Does this mean Medicare is discontinuing these plans?
No. These products will remain available, but UCare will no longer pay new business commissions after July 1, 2025. Members on current plans will have these plans at least through 1/1/2026, as CMS does not allow product withdrawals mid-year. UCare is not seeking to grow membership in the current plan designs, as this may aggravate their reserving position. This is why they will no longer be paying commissions on new enrollments as of July 1st, 2025. Agents should prefer and consider other plan options for new members.
5. Why is UCare suspending new business commissions for these products?
This decision is part of UCare’s broader efforts to maintain financial sustainability amid market challenges and regulatory pressures. It allows UCare to reevaluate and optimize its Medicare offerings for the future.
6. What should agents do now?
- Consider alternative suitable Medicare plans.
- Collaborate with your LeClair SRM to review your portfolio and ensure you have all necessary contracts with carrier options in your area.
- Stay informed about any additional updates from LeClair regarding Medicare Advantage and Supplement offerings.
7. Will UCare be available with new plans for AEP?
UCare will be filing new plans for 2026. We will keep you informed and work with you on strategies for all your Medicare members this upcoming AEP, as UCare’s market position for this AEP becomes clear.
8. What has caused this problem?
We believe there are two key reasons. The first is that their plans have been exceptionally popular. The high enrollment has caused CMS to increase its financial ‘reserving’ requirements; UCare needs to increase its reserving to match its growth. The second is that they have had more claims relative to income with their most popular plans, causing increased financial pressure on UCare’s reserves.
Next Steps & Agent Support
If you have any questions about this change, please contact LeClair or your Sales Relationship Manager for more information.
We appreciate your dedication and commitment to helping Medicare beneficiaries navigate their health coverage options. Thank you for your continued partnership and support.
