Fl. UHC/AARP Med Supps adding fitness benefit for 2020 ?

[vic120]

They are also rolling out gender ratings in many states, and 39% discounts with 13 yr %3 increases, starting at age 68 thru age 80. Age 65 to 67 no 3% increase.

Also rewarding producers with over 300 apps with new small trails for yrs 7 to 10 on policies coming to the end of 6 yr trail and going to $0

so now the increases will be over 13 years instead of 6?

56-67 discount with no increase for the life of the policy or no increase till they reach 68?

I hope their pricing isn't too competitive, My 1st three years I did mostly NY,FL, and CA before I learned other states and how to underwrite, I am watching my ever diminishing-commissions that were too low a % in the first place, Renewwels with other carriers are much stronger

 

[Yagents]

It's been a moving target. Moved up to 30% over 10 yrs last year at age 66. Now going to 13 yrs starting at age 68 for 39%.

They also now offer lifetime diminishing renewals on apps written for the past year.

 

[somarco]

Not every state has discounted premiums. Only those that use community rating.

 

[vic120]

It's been a moving target. Moved up to 30% over 10 yrs last year at age 66. Now going to 13 yrs starting at age 68 for 39%.

They also now offer lifetime diminishing renewals on apps written for the past year.

The only thing that sucks is if they are too competitive, A good amount of people won't believe they will have that type of increase, Which means I will have to write them more with the lower commission,

The lifetime deal isn't that production-based, Meaning if they are not competitive 6 years out and I don't sell as many there goes the lifetime commission?

Just based on your earlier post

I don't have any info from FMO on this and I haven't inquired because I don't write that many Med supp with them anymore even in NY Empire is now lower premium with Silver Sneakers, But now seems like I may have to write them more again

 

[somarco]

A good amount of people won't believe they will have that type of increase,

30% discount recapped over 10 years = 3% per year.

39% discount recapped over 13 years = 3% per year.

Plus annual trend & inflation increases.

Sometimes I run into old UHC plans (mostly F). Their starting rates in GA 9 years ago when I switched to Mcare were typically $30 - $40/mo higher than a bunch of F plans from other carriers.

When I suggested plan G the difference easily became $60+ per month savings.

Even with that kind of savings, some would not consider changing.

I guess "living on a fixed income" was easier for some than for others.

A few years ago I lost a prospect to an agent pitching the current Omaha flavor of the month. In GA Omaha and a few other carriers use the same ENTRY rate for 65, 66 and 67. New higher ENTRY rates start at 68, 69, 70 . . .

I thought I had the guy sold until the other agent showed him the Omaha rate sheet and told him his rates would not increase for 3 years.

Of course he DID get rate increases . . .

and now that Omaha Insurance Carrier is retired and replaced by Mutual of Omaha he will REALLY see rate increase.

Serves him right for not listening to me

The lifetime trails as Bill mentioned are miniscule as I recall. Less than $10 per month maybe. Flat amount, not a %.

Some (all?) of my carriers pay a 1 - 2% service fee for a number of years once you run out of the initial commission cycle.

2% of a $100 (initial) premium is about $20/month.

That's about the same as the "lifetime" UHC commission.

Of course it assumes your clients all have a long, long lifetime.

Mine seem to buy the farm within 15 years.

So much for lifetime commission.

 

[vic120]

30% discount recapped over 10 years = 3% per year.

39% discount recapped over 13 years = 3% per year.

Plus annual trend & inflation increases.

Sometimes I run into old UHC plans (mostly F). Their starting rates in GA 9 years ago when I switched to Mcare were typically $30 - $40/mo higher than a bunch of F plans from other carriers.

When I suggested plan G the difference easily became $60+ per month savings.

Even with that kind of savings, some would not consider changing.

I guess "living on a fixed income" was easier for some than for others.

A few years ago I lost a prospect to an agent pitching the current Omaha flavor of the month. In GA Omaha and a few other carriers use the same ENTRY rate for 65, 66 and 67. New higher ENTRY rates start at 68, 69, 70 . . .

I thought I had the guy sold until the other agent showed him the Omaha rate sheet and told him his rates would not increase for 3 years.

Of course he DID get rate increases . . .

and now that Omaha Insurance Carrier is retired and replaced by Mutual of Omaha he will REALLY see rate increase.

Serves him right for not listening to me

The lifetime trails as Bill mentioned are miniscule as I recall. Less than $10 per month maybe. Flat amount, not a %.

Some (all?) of my carriers pay a 1 - 2% service fee for a number of years once you run out of the initial commission cycle.

2% of a $100 (initial) premium is about $20/month.

That's about the same as the "lifetime" UHC commission.

Of course it assumes your clients all have a long, long lifetime.

Mine seem to buy the farm within 15 years.

So much for lifetime commission.

I do agree, And I do find many listen to reason, However, there are many who do not listen to reason, Even now New to medicare, Retiring at 67 -70 I do find I sometimes have to work to show why not to buy AARP, even though they are $40 above the rest,

Some get it right away some take work,

Some just want the AARP for $40 more (though rare now better than when I first started)

Not saying it won't be doable if they become competitive, Just way more annoying

 

[Yagents]

In Az and FL, they have been king in pricing and premium stability. Never had anyone leave due to price, or complain about $5 to 10, especially after dealing with ifp and aca increases until turning 65. Lifetime commission is nice as they age and u cant roll to other carrier

 

[somarco]

many who do not listen to reason, Even now New to medicare, Retiring at 67 -70 I do find I sometimes have to work to show why not to buy AARP, even though they are $40 above the rest,

Fixed income or not, many are brand loyal.

A number had UHC group health insurance. They have had their ARP card since they turned 50 (or whatever the entry age is). Have flashed their card to get discounts they could probably have had without the card. Bought car and home insurance from Hartford because ARP told them they were getting a good deal (even though they could probably save by going somewhere else). Could have even taken a cruise or other trip with a bunch of like-minded members.

Now they are turning 65 and ARP has always been good to them so they will trust them not to screw them over on their Medicare coverage.

Kind of a Stockholm Syndrome relationship.

Why talk to an agent when you can go direct to ARP and get a lower price?

When someone tells me they are looking at, or have already bought an ARP plan I will ask if they are interested in saving $$ by getting the exact same coverage for $X less.

If they say "no" (which they usually do) then I thank them for their time and move on.

In Az and FL, they have been king in pricing and premium stability.

Those places are God's waiting room. When you already dominate the market because of the ARP endorsement, and you can dominate in an area where everyone wants to retire, you only have to be marginally competitive.

They are not competitive in GA. Haven't been for the last 9 years and probably before. From what I have seen, they are not really competitive anywhere except where seniors move to die.

Doesn't stop them from filling up their dance card before the music stops.

I'm glad I don't (have to ) write in AZ or FL. Bad enough trying to compete with carriers and national phone mills. Now we have Mcare getting (more) into the picture trying to cut out brokers.

I think if my only market was AZ and FL I would probably hang up my spurs and ride off into the sunset.

Low hanging fruit is my game.

And I love it.

 

[minnie]

Not sure where you get your information from but this is not true. We have the same rates as their direct channel, even if though they have to pay us lifetime commissions.

Fixed income or not, many are brand loyal.

Why talk to an agent when you can go direct to ARP and get a lower price?

Also, the enrollment discount (not available in FL) will be frozen at 39% off the base rate for ages 65-68 and rolls off 3% each year for a total of 16 years.
In Florida, they are adding in the free gym component for 1/1/2020. All other states who previously had the 50% gym discount will now have the free RenewActive component. They are not replacing any remaining SilverSneaker states with it. Those states (i.e. PA) will keep SilverSneakers. All states are getting hearing discounts and a brain game component. So some nice additions to their benefits for this AEP. My upline gave me this info so recommend others reach out to make sure they get the right info.

 

[somarco]

Not sure where you get your information from but this is not true. We have the same rates as their direct channel

To clarify . . . I know the rates are the same . . . but all too often the prospect does not and BELIEVES they can get lower rates by going direct.

I hear this with some regularity.

Apparently you don't

You need to read my entire post in context rather than picking apart words or phrases to fit your argument.