A colleague believes Medicare training is not required because her contract is with a third-party marketing organization (TMO). Which statement is accurate?

• A. She is correct; TMO contracts exempt brokers from testing.
• B. She is wrong; only agents selling employer/union group plans may be exempt from testing, but some such plans may require testing.
• C. She is correct; CMS requires testing for all brokers regardless of agency.
• D. She is wrong; testing is never required for marketing Medicare plans.

Answer: (A)

In Medicare sales, brokers must generally complete training and pass testing to ensure they understand Medicare rules, plan details, and compliance requirements. When a broker’s contract is with a third-party marketing organization, the arrangement places the responsibility for training and oversight with that TMO. CMS recognizes this structure and may exempt brokers working under a TMO from the separate CMS testing requirement because the TMO’s program fulfills the certification expectations and the broker operates under the marketer’s umbrella rather than directly under an individual carrier. So, in this scenario, the colleague’s belief that training isn’t required is correct within this framework. Keep in mind that the TMO or the carrier may still impose their own training obligations.