Which statement is true regarding the eligibility of plans for commission payments?

The statement that plans must have been sold after necessary licensing is true because receiving commission payments is contingent upon agents and brokers being properly licensed and certified to sell those specific insurance products. This means that if a plan was sold before the agent or broker obtained the required licenses, it would not be eligible for commission payments. Industry regulations are designed to ensure that consumers are served by trained and knowledgeable professionals, thus reinforcing the necessity of licensure before any sale can lead to commission eligibility.

Other statements may imply a broader or incorrect understanding of commission structures. For instance, suggesting that all plans are automatically eligible for commissions does not take into account the crucial requirement of licensure. Similarly, only government-sponsored plans qualifying for commissions overlooks private health plans, which can also offer commission payments if sold compliant with local, state, and federal regulations. Lastly, the notion that financial performance impacts eligibility doesn’t reflect the criteria specifically tied to licensing and sales processes, which are more critical for commission determination.