This licensing standard is lacking in HCFA's current strategy of hiring anonymous individuals and using impersonal tools for older Americans. Only licensed professionals can give the guidance necessary for individuals coming from employer coverage both before and after age 65. Since independent health insurance professionals are contractors and not employees, insurance carriers do not have such associated costs as benefits and reimbursement expenses to provide. They simply have the cost of the agent's commission. It is important to remember that the agent's commission does not add any cost to the Medicare program, for ALL health plans, public and private, have a marketing component built into their administrative fees.
Licensed agents provide accountability and the greatest assurance against fraud and abuse.
NAHU appreciates the opportunity to provide our comments on this important issue. We look forward to working with you to maximize the choices available to older Americans under the Balanced Budget Act.