Are You Still Selling Plan E?

[jacobtn]

Keep up the "good work". It is that kind of attitude that has enabled me to become very successful selling Medicare Supplement policies.

Please post the zip codes where you are making all that commission.
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I was the #1 agent in the nation with Pioneer Life in 1998 (now Washington National/Conseco)

Been Top 10 since then with a nationally recognized company every year. Total about 4500 Med Supps in 10 years.

Most were plan F. Seniors would rather pay a little more and not be bothered with bills. It's worth it for me to price them a higher plan, they get better service (100% coverage) and I don't get hassled with Part B deductible questions each year.

Why do you think United American still has policyholders that pay ridiculous rates? They like the service. Many won't switch to your plan D, no many how much you are saving them.

Price isn't everything! If it was all we would be is order takers, not salesman.

 

[G.Gordon]

Like Frank, I love you guys that sell plan F and C. After about a 10 minute "education" with an actual break down of all the plans side by side I get the same statement/question:

"Why didn't Jacob (or "my agent") ever tell me that?"

then


"I'd rather keep my $280, 300, 400 per year and pay my own deductible."

and

I don't mind the "bother" of helping them get past paying the part B ded. ea. year. It takes all of five minutes. If caring about a seniors pocket book more than me getting bothered makes me stupid or a little less commission... so be it. That's what I've promissed I will be there for.

 

[Frank Stastny]

I was the #1 agent in the nation with Pioneer Life in 1998 (now Washington National/Conseco)

Been Top 10 since then with a nationally recognized company every year. Total about 4500 Med Supps in 10 years.

You're my new hero.

 

[Newby]

Why are you guys determining ahead of time what plan you will sell? Why not explain the advantages of each and let the client decide?

I've had clients that fully understood the savings they would get with plan D but STILL chose to go with F just because they don't want to have to rethink about it every time they get a bill and wonder if they're supposed to pay it.

I've had others that would always choose plan D when it is all explained to them.

I just present the facts and let them decide.
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Also, does Plan F really pay that much more commission? Some companies reduce the commissionable amount by MORE than the part B deductible on plan F don't they.

 

[Professor Leads]

Price isn't everything! If it was all we would be is order takers, not salesman.

There is a difference between price and value...I do not sell price, I sell value.

I might have received 5 calls this year asking about the $135 deductible...but, then again, I inform them ahead of time so they know it's coming...some just forget. Why not give your clients the choice? Every time I give them a choice, comparing plan F and E,D,G benefits and price they all choose plan E,D,G.

Oh, and the reason UA still has clients is because I haven't met them yet or they are uninsurable.

 

[Cenla Agent]

Also, does Plan F really pay that much more commission? Some companies reduce the commissionable amount by MORE than the part B deductible on plan F don't they.

This seems to vary from company to company, but I don't think I've ever been contracted with a company that doesn't deduct the Part B deductible from the commissionable amount. In some cases the commission difference between selling F and G (especially) or even D in some cases isn't much depending on what the company's rates are.

 

[Frank Stastny]

In my experience there are four reasons why agents sell Plan F.

1. Plan F is very close in price to Plans D or G. Close enough that when the Medicare Part B deductible is taken into consideration the amount of savings between the two amounts to only a few dollars a year. Those agents are helping their clients and advising they wisely.

2. The agent really knows very little about Medicare and the Medicare Supplement Plans. He/she is told, usually by a manager, to just sell Plan F, "it covers everything". Hopefully these agents are new to Med Supps and will take it upon themselves to learn more.

3. The agent is only interested in making to most commission from their client regardless of what is truly best for the client. These agents are the ones who really "get my dander up". (I'm holding way back.)

4. The agent is lazy and has no interest in providing service to their clients. Once they have the clients money they view clients as an annoyance as opposed to someone who they can provide a valuable service for and help when they have questions and/or problems.

You've got to "love" the ones who fall in three and/or four. Those are the ones who have helped make me successful.

Unfortunately they are also the ones who give the rest of us a bad name. They represent who the majority of the public think of when they hear the words "insurance agent".

 

[G.Gordon]

This seems to vary from company to company, but I don't think I've ever been contracted with a company that doesn't deduct the Part B deductible from the commissionable amount. In some cases the commission difference between selling F and G (especially) or even D in some cases isn't much depending on what the company's rates are.

Read that contract carefully. Most contracts don't say they reduce commissions by the amount of the part B ded. they say they reduce commissions by the premium assigned/associated with the part B ded. So if MOO assigns $220 to the part B ded to cover the ded and the admin associated with it then selling a plan D or G actually makes you real close to the same commissions. A minor oversight with most agents.

 

[jamesflou]

You sell plan F also for the excess charges which max at 15% of allowable Medicare approved charges. That 15% can be rather large as I discovered on more than a few seniors.

 

[Frank Stastny]

You sell plan F also for the excess charges which max at 15% of allowable Medicare approved charges. That 15% can be rather large as I discovered on more than a few seniors.

No, I don't sell plan F.

I find your comment very interesting. I have been selling Med Supps since 1993, I have never, repeat, NEVER had one client in all that time tell me that having Plan D or anything except a Plan F has cost them anything but a few extra dollars when they went to a doctor who did not accept assignment.

It sure would be interesting to see the documentation on all of those clients of yours who have had to come up with a substantial amount additional money. I have heard a lot of agents come up with that as the justification for selling Plan F but none of them were willing to share the specifics with me. That is most commonly used by agents who attempt to use an emotional approach to sell Med Supps.

If it ever did happen it was probably because their agent didn't explain Medicare and Medicare Supplement insurance to them. It is highly doubtful that would ever happen to a senior who was well educated by his/her agent.

Besides, doctors who do not accept assignment do not receive a full 15% over what Medicare has approved. Regardless of what you may think you have read.

The "approved" amount is reduced if a doctor does not accept assignment.
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Read that contract carefully. Most contracts don't say they reduce commissions by the amount of the part B ded. they say they reduce commissions by the premium assigned/associated with the part B ded. So if MOO assigns $220 to the part B ded to cover the ded and the admin associated with it then selling a plan D or G actually makes you real close to the same commissions. A minor oversight with most agents.

I have never seen a company that pays full commission on the total premium for Plan F. Like you, I have represented many.