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SBG Association Bonus Program Rules & Guidelines

Program Guidelines

Group / Membership eligibility

  • Only new SBG plans with effective dates of 9/1/20 through 12/1/20 are eligible for the bonus program.
  • An SBG consists of 1 – 100 employees. Groups and members must be active at the end of the program period for brokers to be eligible for payment.
  • New SBG members are those who have the same enrollment effective date as the employer groups' original Health Net effective date (i.e., if an employer group’s effective date is 10/1/20, the members must also have an effective date of 10/1/20).
  • Bonus is based on the number of members enrolled with a Health Net medical plan.

Exclusions: dental, vision, life insurance, prescription drug, and members covered by COBRA or other continuation plans are ineligible for this bonus.

Broker eligibility

  • Participating brokers must be in good standing with a current, signed Health Net broker contract and valid license on file.
  • In the event that a bonus was advanced to the broker and not earned (i.e., sales that the credited Health Net group disenrolls/cancels during the first (12) months of consecutive enrollment), one hundred percent (100%) of the unearned bonus will be subject to a chargeback. This means the paid bonus will be offset against current or future bonus commission payable to the broker until the chargeback is fully recovered.
  • Group split with another broker for commission purposes will also be split for this bonus program.
  • General agents are excluded from participation. Group business submitted by a general agent will be credited to the individual broker.
  • Health Net will determine the brokers who are eligible for this program. The Health Net Account Executive will contact eligible brokers.

Bonuses shall be payable in additional to any published Health Net SBG new sales program in place during the same period, including the Easy Money Bonus Program which is $50 per member through December 1, 2020.

Bonus totals are determined 60 days after the end of each program period. Membership numbers as of the date of the qualifying period report are used to compute bonus payouts and will be considered final.

Broker is eligible to earn $100 per new member for every new SBG sale made for groups who have been displaced by DMHC's decision to dis-allow "Association Health Plans."

Broker is eligible to earn 2% increase on first year commissions for new business upon providing 1) proof that the broker provides coverage through the association health plan, and 2) proof of association coverage when case is submitted.

Payments are reported on IRS 1099 and IRS 5500.

Health Net reserves the right to change or terminate this program.

Last Updated: 08/21/2020