Every year, CMS releases updates that shape how agents and FMOs market, educate, and enroll Medicare beneficiaries. But the 2027 Proposed Rule feels a little different.
- For once, we’re seeing more flexibility, less red tape, and smoother workflows for agents.
- These changes are proposed — not final— but if adopted, they would take effect October 1, 2026 and apply to the 2027 AEP.
- If you’ve ever muttered, “Why is this rule even a thing?”during AEP… CMS may finally be listening.
Let’s break it down in a way that actually makes sense.
What Medicare Agents Should Know First: A Quick Reality Check
- These are proposed rules, not finalized regulations. CMS often revises language after receiving industry feedback, so think of this as the preview, not the finished product.
- That said, the direction is clear: reduced administrative burden, more practical compliance requirements, and strong consumer protections without unnecessarily restricting agents. We’ll take it!
The Big Picture: How the CMS 2027 Rule Impacts Medicare Agents
Over the past several years, CMS has steadily tightened Medicare marketing rules, often in ways that made everyday agent workflows more complex.
The 2027 Proposed Rule feels like a course correction.
- CMS appears to be loosening overly restrictive policies, improving agent workflows, and reintroducing flexibility where it makes sense.
- This isn’t just minor cleanup, it’s a meaningful shift in how agents can interact with beneficiaries throughout the marketing and enrollment process.
The Most Important Proposed TPMO Rule Changes for Agents (In Plain English)
1. Educational & Marketing Events Can Be Back-to-Back
Current Rule:
Educational events must remain strictly educational, with no immediate transition into a marketing event at the same location.
Proposed Change:
CMS proposes removing this restriction. Agents would be allowed to host an educational event and then transition into a marketing event as long as attendees are clearly informed and given sufficient opportunity to leave before the marketing portion begins.
Additionally, agents would be permitted to provide and collect completed Scope of Appointment (SOA) forms at educational events.
Agent Win:
Fewer event-planning headaches, better attendance and engagement, and one location, one meeting, more impact.
2. The 48-Hour SOA Waiting Period May Be Eliminated
Current Rule:
Agents must wait 48 hours after collecting an SOA before discussing plan options.
Proposed Change:
CMS proposes eliminating the 48-hour waiting period. However, an SOA would still be required for all personal marketing appointments, including agent- or plan-initiated outbound contacts, beneficiary-initiated inbound contacts (such as walk-ins, unscheduled calls, web chats, and web forms), and any interaction tailored to an individual or small group for marketing discussions.
In short: the SOA requirement remains — the waiting period does not.
Agent Win:
Immediate follow-up, fewer lost opportunities, and faster, cleaner sales conversations. This is a big one.
3. Superlatives Are Back (“Best,” “Top-Rated,” etc.)
Current Rule:
Superlatives are prohibited unless accompanied by detailed written documentation within the advertisement.
Proposed Change:
CMS would allow the use of superlatives again, provided they are not misleading. Agents and FMOs must still retain supporting documentation and be able to produce it upon request by carriers or CMS.
Agent Win:
Stronger, clearer marketing language, no more awkward footnotes crammed into ads, and messaging that actually resonates with consumers.
4. TPMO Disclaimer Timing Becomes More Flexible
Current Rule:
The TPMO disclaimer must be read within the first 60 seconds of every call.
Proposed Change:
The disclaimer must be delivered before discussing benefits, but not necessarily within the first minute of the call.
Agent Win:
More natural conversations, less robotic scripting, and improved rapport before transitioning into compliance language.
5. TPMO Disclaimer Content Simplified
CMS proposes removing the SHIP reference and simplifying the TPMO disclaimer language overall.
Agent Win:
Shorter, cleaner disclosures, easier compliance training, and less clutter across marketing materials.
6. Call Recording Retention Reduced: 10 Years to 6 Years
Current Rule:
TPMOs must retain call recordings for 10 years.
Proposed Change:
The retention requirement would be reduced to 6 years.
Agent Win:
Lower data storage costs, reduced administrative burden, and a more reasonable compliance standard.
7. CMS May Revisit the Definition of “TPMO”
CMS is actively seeking feedback on whether the definition of a TPMO should be expanded or refined.
Agent Watch-Out:
Some currently exempt entities could fall under the TPMO umbrella, and additional clarity is expected after stakeholder comments are reviewed.
Your FMO will continue monitoring this closely and provide updates as guidance is finalized.
Final Thoughts: What This Means for You
If finalized as proposed, these changes would increase flexibility at events, speed up client conversations, improve marketing effectiveness, reduce compliance bottlenecks, lower administrative burden, and create a more streamlined AEP experience.
While there may still be increased oversight in certain areas — particularly around TPMO definitions — the overall direction is a net positive for agents.
And as always, once CMS finalizes the rules, your FMO will break down exactly what’s changing, what’s required, and how to stay compliant without slowing down your business.
At National Contracting Center we are here to help you succeed in selling senior health products. Give us a call to discuss how we can help you grow your business!
