Cigna Commissions

[STIBROKER]

Scott, I am sure eHealth and healthcare.gov will be accurate . . . .

yea I know...used ehealth before I had a site and engine ....print screen crop and save....embed in email and send......

 

[AllenChicago]

Per Cigna meeting today...in Texas:
6% 1st year commission
6% renewals...paid on current premium...not on original (lower) premium

THIS IS BIG! No companies that I've contracted with in the past 10 years pay a percentage on the CURRENT premium after year 1.

By earning a flat multi-year (vs. some crappy per-head) commission on the current premium in any given year, there's no incentive (thankfully!) to churn policies. Since every policyholder is covered 100% from day 1, with no year or two wait to have pre-existing conditions covered, there's no incentive for insurers to want us to re-sign/re-enter existing customers into new contracts.

Cigna had definitely earned their "thinking" and "agent-empathy" badges for 2014! It's too bad they don't sell here in IL. With Cigna's long-term structure, I'd take their 6% (multi-year) over Humana's 8%(first-year) any day.
ac

 

[STIBROKER]

THIS IS BIG! No companies that I've contracted with in the past 10 years pay a percentage on the CURRENT premium after year 1.

really......texas is different......

 

[taterpeeler]

we asked the guy 4 times if they pay on current premium and they said NO. who said it? the director of Texas

their exact quote was nothing changes from NOW.

yes, we could have had him confused... dunno

 

[Ann H]

Cigna is selling in AZ, but not using independent brokers. They are using a GA down in Tucson to sell their plans with their in-house team. That didn't sound like wisdom, but that was their choice.

 

[YouGotMyMoney]

The point being it's very doubtful this mess last 3 years as is. You should be looking at who is going to be offering the highest first yr commissions or lower commish but higher over all comp with production bonuses.

 

[AllenChicago]

The point being it's very doubtful this mess last 3 years as is. You should be looking at who is going to be offering the highest first yr commissions or lower commish but higher over all comp with production bonuses.

Bite your tongue YGMY Superman! When this crashes, the next system will not include agents. Helllooo Canada.

 

[FLM2]

The point being it's very doubtful this mess last 3 years as is. You should be looking at who is going to be offering the highest first yr commissions or lower commish but higher over all comp with production bonuses.

You can look at whatever you want, I'm not changing my direction over a 2% difference in 1st year commissions when the renewals are so much stronger.

It's all up to what's best for the client anyway, nothing will be known until the rates are released.

 

[somarco]

Canada has insurance agents.

 

[riskybiz]

Canada has insurance agents.

I was thinking the same thing. Canada has private insurance in some provinces and agents sell there. The pros will be fine it may be bumpy, but there will always be people that need hand holding.