Buying a Book

[xrac]

Lets say you buy the book. Even with "all hands on deck" during 10.01 to 12.31, I see a 10 to 20% drop in the book before next summer. If you are set on buying this book, I would make a downpayment. I would then structure the deal in such a way that you analyze the book every 6 months. Future payments would be tied to the books retention.

Good advice. This would be the only way to buy a book.

 

[Ann H]

Do you feel agents will not be needed in 3-5 years?

Yes. Most health agents on this forum, as well as agents who chose to leave this business estimate that agents will be cut out within 3-5 years. In all states that have had universal health care or Guaranteed Issue health insurance, the list of participating carriers was reduced to 1-3 carriers, and agents were cut. Once agents have enrolled the masses, they see no more reason for us. The only way agents could possibly survive for the long term is if Congress takes agent compensation out of the MLR, and then the carriers will use us for all sorts of marketing and c/s tasks rather than just sales. That likelihood is remote.

 

[Double D]

Is there any truth that they are pushing the exchanges to 2015?

 

[Dave020]

Is there any truth that they are pushing the exchanges to 2015?

Small Group SHOP exchange run by federal (FFE) is pushed to 2015. State SHOP small group exchanges will determine. CA will open SHOP 1/1/14 on schedule.

Individual exchanges are all on target for 1/1/14 whether state run or federally run.

 

[Ann H]

Publicly, HHS is saying they will make the 10/1/2013 deadline, although it may not be functioning well. They have delayed portions of it (like the SHOP multi-choice option for businesses and the BASIC plan). Most agents are placing bets on:

1) Major IT infrastructure breakdown in the first week
2) Formally working, functionally unworkable
3) Delayed
4) Implemented as planned, with portions delayed as HHS has said

 

[Double D]

Publicly, HHS is saying they will make the 10/1/2013 deadline, although it may not be functioning well. They have delayed portions of it (like the SHOP multi-choice option for businesses and the BASIC plan). Most agents are placing bets on:

1) Major IT infrastructure breakdown in the first week
2) Formally working, functionally unworkable
3) Delayed
4) Implemented as planned, with portions delayed as HHS has said

I just found out the information I was originally given was incorrect. The book is made up of 75% of small group. Am I wrong to think that this is even a greater risk to buy compared to it being mostly individual ?

 

[Ann H]

I just found out the information I was originally given was incorrect. The book is made up of 75% of small group. Am I wrong to think that this is even a greater risk to buy compared to it being mostly individual ?

It's MUCH riskier in this environment. That also explains the $600K income, which is not extraordinary for 75% group, but it is unusual for 60% IFP like we first thought.

 

[Double D]

It's MUCH riskier in this environment. That also explains the $600K income, which is not extraordinary for 75% group, but it is unusual for 60% IFP like we first thought.

Thanks Ann.. That's what I thought. Although I'm very disappointed because I want to buy a book so bad but sometimes it's the buys you don't make that become your best deals.. I guess the search continues!! Thanks for your help.. I greatly appreciate it!

 

[ABC]

The fact that you are truly entertaining buying a health insurance block at this time, show you have no experience in the health field.

I know that is a harsh post but come on!

 

[xrac]

The fact that you are truly entertaining buying a health insurance block at this time, show you have no experience in the health field.

I know that is a harsh post but come on!

ABC is right. Only buy a book of health insurance now if you want to lose money.