Buying a Book

[Double D]

Should I buy a health book with over 600k in revenue?

 

[b61mack]

Beware! it maybe worth something if its group?

 

[Double D]

I was thinking just the opposite. I understand the group will be gone and individuals are utilizing the broker already so the relationship is there.

 

[b61mack]

What state, I would only offer a payment on policys, when they re-new. 50-50. they pay 400, pay him 200. something like that.

 

[Double D]

It's in GA. Are talking about the group portion or the individual ?

 

[b61mack]

Either one, That way if commissions go to 100.00. you split it $50/$50. There is a big unknown. Why does he want to sell it.

 

[Double D]

Either one, That way if commissions go to 100.00. you split it $50/$50. There is a big unknown. Why does he want to sell it.

He is 64 and is retiring. Is there any word when they are going to announce what the commissions are going to be?

 

[xrac]

Buying a book of health business right now looks like buying a pig in a poke.

 

[sman]

Should I buy a health book with over 600k in revenue?

I'd be very cautious in buying a book of health business. Things are about to change and we have no idea what it will look like beginning next year.

For example, some small groups may decide not to offer group and let employees go get their own coverage through the exchange. Especially if the employee will qualify for a subsidy. Then what are you left with if they don't use you as their agent?

Also, here in Georgia we have no idea if the feds are going to pay agents to assist in exchange enrollments. And if they do, will it be a one time commission or ongoing commissions? There are way too many unknowns to purchase a book of business without some very strong contingencies in place protecting the buyer if the new rules don't work in your favor.

 

[DS4]

Should I buy a health book with over 600k in revenue?

What is the make up?

%Senior?
%IFP?
%Group?