Gap Policies

[arnguy]

Rchelten, your graphic on the video page with the yellow semi-circle has the word "Deductible" misspelled as "Deductable." Just a heads up.

 

[jimkmi]

Colonial's medical bridge plan can be very appealing for a forward thinking small company that doesn't offer benefits or very little benefits to their employees. If nobody gets company paid insurance you can use the medical bridge plan as a small group plan and have the company offer it as a paid insurance plan to management and to the owner, and employee paid to regular employees. In conjunction with it offer individual medical insurance or a small group health plan. This makes the employer look good because he's offering management SOMETHING and since the medical bridge will cover $2500 as soon as they go in the hospital it makes a very high deductible health plan easier for the client to accept. It makes the employer look good for a very small out of pocket cost on his part. If you can sell individual health plans with it, you can make as much or more commission dollars than selling a low commission small group plan. Colonial's medical bridge is HSA compatible.

 

[ABC]

Like I said before I have put a lot of time into this approach and was only successful in putting into one account.

I took a $1,500 deductible and raised to $3,000 and changed the RX to a shared RX copay.

Then I put supplemental policies in place through Colonial which were 100% paid by employer.

The savings was about $340 per employee. That is a far cry from $1,000. Had we elected to make the gap policy voluntary the savings was just over $400 per employe per year.

On the Transamerica policy there are some exclusions that have to be noted.

I think the Gap policy is a valid approach its you have to find the right match.

I know I can't give my website here , but feel free to click on my profile and get it there. On my site, I have 6 different cases where we increased deductibles to $5,000 and purchased GAP coverage for the Broker/Employer.

the combination of GAP coverage and "core" coverage costs $1,000 per employee less than most renewals we are seeing.

GI contract, spreadsheet enrollment, no pre -x except for a Critical Illness lump sum "extra" benefit offered alongside GAP plan.

Trans sells its GAP coverage under the product "Healthpak".

Product can be Voluntary (50% participation)or Contributory. rates are the same.

we're finding that the real sweet spot for this kind of product is with a plan with a $2500 deductble and 80/20/% $2500 coinsurance. That's because GAPcoverage is 100% inpatient and 50% outpatient. In this case, 1st $2500 of outpatient is 100% covered and next $12,500 is 80% covered ($10,000). 100% thereafter.

I am a GA for Transamercia and several other carriers helping agents nationwide.

 

[gajfo]

I have tremendous success marketing Gap coverage. I get 40 to 60% response rate. The Gap plan is a niche product. You want to use it with a ppo that has drug and outpatient copays.

 

[somarco]

Why buy something that is not needed and a waste of money? Do you just sell it to earn a commission vs. helping people?

 

[ABC]

I have tremendous success marketing Gap coverage. I get 40 to 60% response rate. The Gap plan is a niche product. You want to use it with a ppo that has drug and outpatient copays.

40% -60% response rate?

What is your closing rate?

 

[jbage007]

Rchelten, your graphic on the video page with the yellow semi-circle has the word "Deductible" misspelled as "Deductable." Just a heads up.

But deductAble is correct, as in you are "able" to "deduct" something. Get it? DeductAble

Able to Deduct.

The "i" couldn't possibly be correct. Webster's has it all wrong. What a moron.

 

[LadyYaYa]

Keep us updated how this turns out for you!

 

[arnguy]

But deductAble is correct, as in you are "able" to "deduct" something. Get it? DeductAble

Able to Deduct.

The "i" couldn't possibly be correct. Webster's has it all wrong. What a moron.

I hope you're joking!!!
If not, maybe you should compose a dictionary for illiterates.

 

[Broker007]

People are incredibly stupid and would prefer to pay for a gap policy rather than put money into an account, even if it means paying more.

I can't even tell you how many times I've used the phrase "You can spend more on the policy, or put the money into your account and get an even greater return. It's your choice - which do you prefer?" only to have them choose the policy.

You can't fix stupid.

That's not always right my friend. The idea of insurance itself is shifting risk of financial loss to another party and paying a premium to do so. With your assessment, one should not buy life insurance and just save their money for a lifetime and accrue interest?