Effect of Anthem Cigna Deal on Medsupps?

[yorkriver1]

Just had prospect respond to my comment that while Anthem is great, Cigna may have better price on Plan F: "But didn't Anthem just buy Cigna?"

Interesting to see if the subsidiary carriers like ARLIC/Cigna retain their autonomy.

I have no good answer, except that Aetna says their Humana deal will stretch on for 2-3 years before any possible changes would occur.

With Medsupp, unlike MAPD, once in, may not be getting out.

Your thoughts?

 

[unic.consulting]

Just had prospect respond to my comment that while Anthem is great, Cigna may have better price on Plan F: "But didn't Anthem just buy Cigna?"

Interesting to see if the subsidiary carriers like ARLIC/Cigna retain their autonomy.

I have no good answer, except that Aetna says their Humana deal will stretch on for 2-3 years before any possible changes would occur.

With Medsupp, unlike MAPD, once in, may not be getting out.

Your thoughts?

Any merger will take a few years if it even gets final approval. Why not save them money now? Who knows what will happen by the time the merger goes through.

 

[somarco]

I would never place a Medigap client with a company that will be bought or has announced they are getting out of the business. Can't believe there were agents still selling AFLAC up to the bitter end.

 

[yorkriver1]

Somarco, you are saying don't put people with Cigna? Right now, app questions won't work with Anthem. UHC, looks good. Equitable lower, but refused for not recognizing the brand.

 

[HowdyDoody]

Somarco, you are saying don't put people with Cigna? Right now, app questions won't work with Anthem. UHC, looks good. Equitable lower, but refused for not recognizing the brand.

What about Warren Buffett and U-Haul? Everybody's heard of them.

 

[somarco]

I have not found a reason to get contracted with ARLIC/Cigna. They are only competitive in 3 zip codes and I rarely write business in that part of Georgia.

Even if they were competitive I would stop writing business based on the possible merger.

I do keep a few brand names around for ignorant people that think a name like Blue means quality. However I haven't written a BX plan in at least 3 years. About the same time frame for Humana and any of the MOO carriers. Not appointed with UHC/AARP and don't care to be.

Probably 99% of what I write is with carriers no one has heard of before. Guess it is my charm that wins them over from the dark side.

Oh, and I rarely lose a case to MOO, BX or UHC. In fact, if someone says they want MOO I give them the 800 number and suggest they enroll direct.

That usually stops them dead in their tracks.

Most of my business is with New Era and Equitable but I do write about a dozen cases a year with Manhattan (low rate shopper) and Aetna (decent rate, recognizable name).

 

[yorkriver1]

I have not found a reason to get contracted with ARLIC/Cigna. They are only competitive in 3 zip codes and I rarely write business in that part of Georgia.

Even if they were competitive I would stop writing business based on the possible merger.

Probably 99% of what I write is with carriers no one has heard of before. Guess it is my charm that wins them over from the dark side.

Most of my business is with New Era and Equitable but I do write about a dozen cases a year with Manhattan (low rate shopper) and Aetna (decent rate, recognizable name).

Will check UW with Aetna/AmCon, suggest doing phone app with Equitable; looks like UW will pass. Will try the Somarco charm at app't. Client will be in a position to refer. Thanks for the list of possible carriers. We don't have New Era here, or Manhattan.

 

[russelltw]

New Era could be listed a Philadelphia American.

Bob, how are rate increases with those carriers? I see them in the rate comparison and do rep them, just haven't had a chance where they are the most competitive.
R

 

[somarco]

Both New Era and Equitable rate adjustments were 2 - 5% less than other carriers when 10%+ increases were the norm.

I don't recall seeing New Era increase more than 6.5% (plans G & N) and more recently in the 3 - 4% range.

Equitable has only been in GA a couple of years and memory is their adjustments have been 4 - 5%.

MOO is still playing games. Once burned ............

I am cautious about Aetna Health and Life. Introduced here in the spring to replace CLI. Their rates are good enough to sell but I am not openly promoting them. I do showcase them because of the A rating and that get's some attention.

Aetna seems to be beefing up their Medigap reinsurance side and taking business away from MOO in that market. Remains to be seen if that is a good thing or not.

As I said, I am cautiously optimistic about them. I believe they have been handling the reinsurance for Equitable for a little over a year. Took the account away from MOO.

M, 65, 30525 plan G. New Era & Omaha $114, Aetna $116, Equitable $123.

State Mutual is low @ $111 and also high (direct) @ $182. That really scares me. I am contracted with them but have yet to write anything. Still put most of my business with New Era and Equitable.

 

[russelltw]

You are with State Mutual? Thought they were direct only. THey were in NC a couple years ago and were dirt cheap...for about a year. Now they are 40th on F and 24th on a G rate for a 65 male.