Why Agents Must Document the Scope of Appointment (SOA) Form?

Medicare requires all licensed agents and brokers to document a Scope of Appointment (SOA) before discussing or presenting Medicare Advantage (Part C) or Prescription Drug (Part D) plans. This requirement is designed to protect beneficiaries and ensure compliance with federal regulations.

1. Regulatory Compliance (CMS Requirement)

The Centers for Medicare & Medicaid Services (CMS) requires agents to obtain and document the SOA before any sales appointment. This documentation confirms that the beneficiary has authorized the discussion of specific plan types and helps ensure the agent is adhering to strict marketing and communication guidelines.

2. Consumer Protection

The SOA safeguards Medicare beneficiaries from high-pressure sales tactics or discussions about products they did not agree to review. It ensures that conversations remain focused only on the types of coverage the beneficiary has consented to discuss, reducing confusion and building trust.

3. Legal and Audit Protection for Agents and Agencies

Documenting the SOA is an essential part of maintaining compliance records. If an audit or investigation occurs, a properly completed SOA demonstrates that the agent acted within the rules and obtained the beneficiary’s consent before presenting any plan details. Failing to have a documented SOA can result in penalties, loss of commission, or termination of carrier contracts.

4. Transparency and Professionalism

Completing the SOA form shows professionalism and ethical conduct. It sets clear expectations for the appointment, fosters transparency in the client relationship, and enhances the beneficiary’s confidence in the agent’s services.

Medicare Intake and Scope of Appointment Form

ACA Marketplace Intake and Consent Form