If Mrs. O'Malley disenrolls from her Medicare Advantage plan after moving outside the service area, what is the impact on Agent Higgins's compensation?

When a member like Mrs. O'Malley disenrolls from their Medicare Advantage plan due to moving outside the service area, it typically does not necessitate recouping the agent's compensation. This is because compensation for agents is usually tied to the enrollment of a beneficiary into a Medicare Advantage plan, not on the longevity of that enrollment.

As per regulations governing agent commissions, when disenrollment occurs for reasons beyond the control of the agent, such as a change in residence, the agent is generally allowed to retain the compensation earned upon the initiation of the enrollment. This provides some level of protection for agents from financial penalties when circumstances change for their clients that do not relate to their sales performance or conduct.

Thus, Agent Higgins is not required to return any part of his compensation simply because Mrs. O'Malley moved out of the service area, thereby affirming that he does not need to recoup his compensation.