ACA Commissions for 2025

Let’s delve into the essential details you need to understand about ACA commissions in 2025. 

🛠️ How Commissions Are Structured

• 📋 Per Member Per Month (PMPM): Agents earn a flat rate for each member enrolled, paid monthly as long as the policy remains active. This is the most common structure.
• 📄 Per Contract Per Month (PCPM): Similar to PMPM but based on the entire contract rather than individual members.

🔍 What Influences Commission Rates?

• Carrier Policies: Each insurance carrier sets its own rates, which vary by plan type and region.
• State Regulations: Some states impose limits or guidelines on commission amounts, impacting what agents can earn.
• Plan Type: Commissions often differ for individual plans, family plans, and small business options.
• New Business vs. Renewals: New enrollments typically offer higher commissions than renewals, but renewals provide consistent residual income.

🚨 Key Changes for 2025

• Flat-Rate Commissions: Many carriers are shifting to flat-rate payments instead of percentage-based models to simplify processes.
• Transparency Requirements: Agents must disclose commission details to clients, aligning with federal regulations.
• Increased Competition: Variability in commission rates is growing, making it critical for agents to compare carrier options.

📊 Compare 2025 ACA Commission Rates: Examples

Here are examples of 2025 ACA commission rates to illustrate earning potential (actual rates vary by carrier and state):

• Carrier A:

  • 🧑‍🤝‍🧑 Individual Plans: $20 PMPM
  • 👨‍👩‍👧‍👦 Family of Four: $80 PMPM
  • Annual Earnings for One Family: $960

• Carrier B:

  • 🧑‍🤝‍🧑 Individual Plans: $25 PMPM
  • 👨‍👩‍👧‍👦 Family of Four: $100 PMPM
  • Annual Earnings for One Family: $1,200

• Carrier C:

  • Tiered Commissions:
    • $18 PMPM for 1–50 enrollees
    • $22 PMPM for 51–100 enrollees
    • $26 PMPM for 101+ enrollees

🤔 Common Questions About ACA Commissions

Q: Are ACA commissions consistent across carriers?
A: No, rates vary by carrier, state, and plan type. Some carriers offer tiered commissions or bonuses.

Q: How are commissions paid?
A: Most commissions are paid monthly based on the number of enrolled members and their premiums.

Q: Can I earn commissions outside of open enrollment?
A: Yes! You can earn commissions during special enrollment periods (SEPs) for clients who qualify due to life events.

🚀 Closing Thoughts

ACA commissions offer lucrative earning potential for agents. By understanding commission structures, focusing on volume, and leveraging the right tools, you can maximize your income and grow your business.

⭐ Partner with PSM Brokerage

At PSM Brokerage, we provide agents with top-tier carrier options, free quoting and enrollment platforms, and valuable marketing resources.

✅ Ready to take your ACA sales to the next level? Contact us today to learn how partnering with PSM Brokerage can help you unlock your full potential!