GR 2011 Commission Going Live Today

[dgoldenz]

They are competitive in VA and I have the same comp. My #2 company after Anthem.

 

[ksigmtsu]

I expected worse, this isn't really that bad. Will continue to be kickass with self generated business.

Even with leads you can still work this, its tight on ROI for single cases but it would average out. Lead cost will go down or agents will stop buying, or maybe both.

 

[COInsguy]

I doubt lead costs will go down as much as some of you are anticipating if at all. Agents are going to drop out of the business whether leads cost $8 or $10.

So golden rule is the first major player to come out with some numbers. Everyone will have to say something in the next 20 days as well as mail us a copy of our new commission schedules per the 30 day change notice that almost all carriers have.

Who thinks this will be a game of chicken until the last minute or should we get a bulk of the news in the next week, maybe 10 days???? Thoughts....

 

[YouGotMyMoney]

I doubt lead costs will go down as much as some of you are anticipating if at all. Agents are going to drop out of the business whether leads cost $8 or $10.

So golden rule is the first major player to come out with some numbers. Everyone will have to say something in the next 20 days as well as mail us a copy of our new commission schedules per the 30 day change notice that almost all carriers have.

Who thinks this will be a game of chicken until the last minute or should we get a bulk of the news in the next week, maybe 10 days???? Thoughts....

In the states I market in, HumanaOne and CignaOne (okay not yet a "One", mb soon?) are the most competitive when not considering the Blues.

Cigna already caps out at 20% w/no advances.

I would not be surprised, if they dropped to 8% or so, but on the other hand they pay about 33% less than UHC now anyway, so maybe the drop wont be so sever, 15% would be fantastic at this rate.

HumanaOne will need to really compete for the high producers business with either bigger advances vs UHC's 6 mo, maybe 9 or 10 mo adv or possibly a few points more commish than uhc....I'm hopeful

 

[669comche]

Waiting to see it in writing - but 12/4 for 49-99 keeps independent agents in business. Pay cut? Sure. In business? Yes.

My last full year of indie sales was 720K. That would translate to 86K. That's obviously with no marketing.

If it cost $80 to gain a client and average premium was 3K that's 240 cases which is 20K in marketing costs. So my net would have been 66K.

Would I have worked for 66K at home, no boss? Better bet your a**. With some modest cross selling you can kick that up another 15K.

How are you gaining a client for $80?

I thought the average was $140-$160

 

[Crabcake Johnny]

I've never paid $140 to $160 for a client. Back when internet leads were actually decent I used to close 1 out of 10 at $8 and when I switched to hiring telemarketers I close 1 out of 15. They'd generate 3 leads per hour at $10/hr so that was $50 per client.

 

[669comche]

But most aren't closing at that rate, so your numbers would be way off.

If you took the industry average then it looks completely different.

 

[Crabcake Johnny]

If you can't gain a deal for $100 or less in a post-reform environment you're either cold calling or out of business.

 

[669comche]

Well yeah, we all know that.

My contact at BCBSTX just told me to expect single digits for new commission levels.

Ouch!

 

[Crabcake Johnny]

What's nice about being independent is I can choose the carriers in any state with the best deal, so long as they're competitive. If a carrier doesn't feel like offering me a good deal - buh bye.