Gerber Life Medicare Supplement

[Frank Stastny]

What would I have to gain by saying that? It makes no sense.

I don't work for an insurance company, never have. I'm not in bed with any insurance companies, never will be.

Do I feel insurance companies are "ripping off" agents by drastically cutting Med Supp commissions after the sixth year? Definitely. I have posted that many times. But, in sixteen years I have never been cheated out of, have never not received any nor ever had any commissions due me taken away.

I have never worked for a GA, haven't taken advances for at least ten years, have never represented a company that has gotten out of the business and still receive commissions from the company I started with in 1993.

I'm not trying to perpetuate any kind of "great myth". Yoda is the one who said "Most of my fellow med supp selling friends have all been ripped for well over 100,000 dollars" and that he knows thousands of agents who have gotten ripped off. I don't even personally know a thousand agents let alone thousands of agents.

You are the one "my friend" who's gross generalities are questionable.

All I said is that it has never happened to me and he implied that he didn't believe it. That bothers me more than just a little.

Maybe I work a little differently than most, maybe I make slightly better decisions than most and maybe I don't embellish.

I never once said that I don't believe that an agent hasn't not received money due him. All I said is that it has never happened to me. Why would anyone want to start an argument over that by calling me a liar?

 

[carroll]

I just got hooked up with them in MO and KS.....it all looks good to me!
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by the way...i'm new to the biz.....I've yet to sell a med supp policy....Not sure if I want my money advanced to me....pros and cons? What if they cancel the policy after the 3rd month?

 

[Russ]

I just got hooked up with them in MO and KS.....it all looks good to me!
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by the way...i'm new to the biz.....I've yet to sell a med supp policy....Not sure if I want my money advanced to me....pros and cons? What if they cancel the policy after the 3rd month?

They will charge back the unearned premium. Some may even charge the entire amount back unless the insured paid so many months....say 6 out of 12 or 6 out of 9.

Most will just charge back the unearned amount.

 

[Yoda]

The con is they are charging 12% interest like they were a credit card company. So in essence with the 12% interest rate you have to sell 9 policies to get paid the same as you would have got paid to sell 8 policies sold without the advance. So no its not a good deal to get advances. One mathamatical genius at the beginning of this thread said that if you had $10,000 being advanced to you the finanace charge would only be about 100 bucks! Ha ha ha wouldnt that be nice but in reality 12% of 10,000 is actual 1200 dollars.

 

[Frank Stastny]

I just got hooked up with them in MO and KS.....it all looks good to me!
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by the way...i'm new to the biz.....I've yet to sell a med supp policy....Not sure if I want my money advanced to me....pros and cons? What if they cancel the policy after the 3rd month?

I took advances when I first started to get more money faster. If you don't need twelve months of commission when you write the policy then I personally don't see a huge advantage to getting an advance. Others disagree with me, they want all the money they can get as quickly as they can get it and that's fine. I like having renewals come in every month.

As far as cancellations, if the policy is sold correctly the first time and your prospect is educated and has had all their concerns and questions addressed then cancellations should be few and far between. I very rarely get them. I can't remember any that I have had in the first twelve months for a very long time.

 

[GreenSky]

The only way I could see a mass exodus out of Med Supps causing chargeback hell would be if our morons in Congress limits the max out of pocket for Medicare. Obama has stated he is opposed to high out of pocket maximiums and the only "carrier" that has no limit is Medicare.

Limit the OOP for Medicare to $3,000 and the entire supplement industry is history.

Can this happen? This country is so f*cked right now, anything is possible.

Rick

 

[HarryRenard]

Yoda- Your the mathematical genius GERBER which this thread is about is a 1% interest charge.
you are proving post after post that you are a complete dolt.

 

[Chazm]

^lol, I was thinking the same thing

 

[April Wino]

I like the idea of monthy residuals...I'll skip the advancements.....Hell I'll just be happy if i can sell one!!!

 

[G.Gordon]

Yoda- Your the mathematical genius GERBER which this thread is about is a 1% interest charge.
you are proving post after post that you are a complete dolt.

You might want to read the contract before you call someone a dolt. Most advance finance agreement say something like "1% of the account balance PER MONTH"...

Come on... someone got a contract to read to this guy?


Never mind. Found this a few pages back on post #80.

Dear Producer,
This notice is to inform you of a new process concerning advanced commissions for Gerber Life Insurance Company Medicare Supplement and Medicare Select business. On the last day of the pay cycle for each month, there will be a one percent summary of interest charge added to any unearned advanced commissions.
[FONT=Arial,Helvetica,sans-serif]All previously signed Advance Commission on Issue Amendments are now terminated. The enclosed and newly revised Advance Commission on Issue Amendment must be signed and submitted or declined by you, the producer. The enclosed amendment must be signed and received by Gerber Life before you will receive advancing on any submitted Gerber Life applications for Medicare Supplement and Medicare Select business. If the enclosed amendment is not signed and received, you will receive regular, modal commission for any submitted Gerber Life applications[/FONT]


What does that mean? 1% per month... 12% per year. The only hair to be split here is that it is 1% of the current balance so while you are building that debt by selling tons of policies that don't look too bad. But... what about 11-12 months down road... Say you're a hog dog agent selling five per week at an average premium of $125/mo and make 22% commissions. By the end of the year if you did that for 48 weeks you're $76k in debt at 1% per month or losing $760/month. So by the end of the year you're losing the whole year's commissions for two out of five sales to that debt.

Something to think about.
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^lol, I was thinking the same thing

Don't be a sheep. Think for yourself. Speak your own mind.