Explain permissible agent incentives and prohibitions on rebating in MA/Part D marketing.

• A. Incentives may be undisclosed.
• B. Rebating is allowed.
• C. Only the plan sponsor can offer incentives, and they must be disclosed.
• D. Incentives must be disclosed and not influence plan choice; prohibited practices include rebating or offering improper inducements to enroll.

Answer: (D)

In MA/Part D marketing, the focus is on keeping enrollment decisions transparent and free from manipulation by incentives. Any incentive offered to a beneficiary must be disclosed and must not sway which plan they choose. This protects buyers from being steered toward a plan because of rewards rather than plan quality, costs, and fit.

Rebating or offering improper inducements to enroll is prohibited. That means cash payments, rebates, or any incentive intended to get a beneficiary to enroll in a specific plan are not allowed. The emphasis is on disclosure and ensuring that plan selection remains based on the plan’s features and value to the beneficiary, not on incentives.

The other options miss the core point. Incentives should not be undisclosed, rebating is not allowed, and incentives aren’t restricted to plan sponsors alone—any marketing incentive must be disclosed and must not influence plan choice.