Anthem Commissions CA 2014

[Dave020]

Small Group - unchanged from current comp 6.5% FYC with renewal drop down to 5%

IFP - $18 Per Member Per Month FYC and $12 Per Member Per Month Renewals

Members already on Anthem contract prior to 1/1/14 who switch to a new metalic Anthem plan in 2014 agent will keep the same comp level as was in place at the time the original policy was sold.

 

[Quotebroker]

Small Group - unchanged from current comp 6.5% FYC with renewal drop down to 5%

IFP - $18 Per Member Per Month FYC and $12 Per Member Per Month Renewals

Members already on Anthem contract prior to 1/1/14 who switch to a new metalic Anthem plan in 2014 agent will keep the same comp level as was in place at the time the original policy was sold.

Same comp level but also original premium for plans sold under the latest comp schedule

 

[wildcat]

I can make that work. I guess it's better than I was expecting, plus the fact that all IFP is G.I. will help.

I like the 'current member' clause keeping the same comp if placed in a metallic plan.

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Dave, are you registering for the Covered Cal Exchange?

 

[Dave020]

Dave, are you registering for the Covered Cal Exchange?

Yes, my class is on 9/27 in San Jose.

 

[Quotebroker]

Dave, I thought I recalled you mentioning that CA bounced Shield's commissions because they were PMPM. Interesting given Anthem's announcement today, or am I remembering wrong?

 

[Dave020]

That's what the Shield RSM told me a couple of weeks ago. I suspect they may have submitted PMPM that was not considered reasonable (too low or too high) so they changed it? Hard to say what the issue was with it.

 

[Quotebroker]

Makes sense that the issue would be the number, and not the format, given Anthem's announcement. Interesting that they chose to appease the CDI by going with a flat percentage.

It looks like if the premium is close, it's going to cause an incentive to analyze case by case and see if $18PMPM or 4% is a better deal for the agent.

Any idea if Kaiser will finally start paying up? I haven't heard a peep from them, but I also write very little Kaiser.

 

[Dave020]

Any idea if Kaiser will finally start paying up? I haven't heard a peep from them, but I also write very little Kaiser.

Heard it's going to stay $100 per head FYC $50 per head renewal.

 

[Central Coast Agent]

So...if I am understanding all this information correctly...

Nothing really changes that much for small group written through Anthem in 2014 other than the plans obviously....

Commissions are 6.5%, new business can be written all year (unlike IFP which will have tight open enrollment periods), pricing may be effected either up or down depending on the age composite of your groups/community rating....

Am I correct in stating "almost business as usual" for small group if you mostly have an Anthem book?

What are the threats here: I guess businesses dissolving groups and sending employees to the exchange is probably it, but other than that...looks like some opportunity to continue to grow a book, no?

Now, as far as IFP business is concerned, that looks to be a different story, with higher rates, the exchanges, subsidies, open enrollment periods...I don't see the opportunity here because you can't sell all year long...it will mostly (for me at least) be ancillary sales to people with qualifying events during the year.

Am I missing any white elephants staring me in the face?