Effective December 31, 2016 Aetna has elected to terminate all Individual Market General Agency contracts across the nation. This will not affect your group business with Aetna / Coventry as that is a separate contract. Unfortunately, it does affect your individual business meaning OCI will no longer be able to service, process or inquire about any in force or new individual Aetna / Coventry business. This includes processing applications and status updates for policies sold with a 1-1-17 effective date and beyond.
As it relates to commissions Aetna has given agents two options to receive their commissions going forward:
Option 1: Continue to have your commissions consolidated and paid through OCI. To keep your individual business commissions through OCI, you can use the commission exception tool on Producer World®, available on October 17. The following document gives you step by step instructions on how to assign your commissions to OCI.
[Download: Commission Instructions]
If this option is chosen, OCI will be assessing a $2 per policy per month convenience fee in order to facilitate commissions on your behalf. This will also allow those commissions to count towards OCI Incentive Trip credits next year.
Option 2: Have Aetna pay you your commissions direct. You must complete a new W-9 that was sent you in via email from Aetna and return to them.
Be sure to set your commissions up properly before November 1. If not properly completed, any new enrollments you have will not register in the commission system and you will not be paid until everything is manually updated.
This most certainly is not ideal and we want to maintain the partnership we have had with all of you. Unfortunately, Aetna’s decision has forced us to change how we operate. OCI will continue to be your outlet for individual products available through Medica and BCBSNE. We look forward to helping you write more with these carriers during open enrollment this year.