Group Health Participation Level Questions

[Labman]

I'm somewhat of a newbie to group health. I'm working with a 40 year veteran as my mentor. But here is the dilema I face:

Many companies I talk to cannot meet the various participation levels due to employment of Hispanics or others who do not want insurance. My broker has no interest in running afoul of anything ethically or legally which I fully understand. But, what I want to know is how in the heck are other agents writing these businesses?? Are they taking chances or is there another route to go, that I don't know about? I just hate to lose business when there is no need to.

 

[somarco]

Is this a repeat question? Sounds familiar.

Set up a group that only covers certain classes. Salaried only. Management only.

 

[dave74]

I am concentrating on certain small group niches. I think it makes it easier when you know what business to go after.

 

[Labman]

Somarco, good memory. I did post a similar question back in November, just forgot about if after a few Jack and Cokes last nite.

I'm starting to get involved in the group health area more so than before. One area I'm looking at is dental offices who seem to have better participation. We recently saved a dental office $10K a year. The office manager wanted to kiss me! LOL!!

 

[somarco]

I have clients in my dentist's office. The dentists are covered by the dental association plan, but I have some of the hygienist's covered under individual plans.

I could save the dentist's money by moving them from the GDA plan but they stay in the plan for political reasons more than the benefit plan.

Times are tough. Employers, especially smaller ones, are cutting back on how much they contribute and who they cover.

Carve out plans, when you can find a fit, are a great way to fly.

 

[Labman]

The office we just worked with, "was" a member of the associations plan, until we showed them how much we could save them. Plus, we service our accounts, something the association provider doesn't do. That in itself was a big selling point!

How are carve outs performed? That sounds like it has potential for a couple of companies I'm dealing with.

Thanks for your help!!!

 

[elisag2a]

When participation is an issue, then I try to find a company that can offer options. If you can get a company that can provide something for everybody then you have a better chance. If a carrier can give you a rich plan and an indeminity plan, as long as you offer to all then I find that people will take it.

 

[Guest]

just forgot about if after a few Jack and Cokes last nite.

You mix expensive sipping whiskey with Coca-Cola? You should be taken out and shot!

If you are going to mix, use some cheap(er), less refined bourbon or blend. You will get the same taste and same buzz for a lot less money. And you won't be wasting some of this country's best sour mash.

If you want to "cut" Jack, just use a splash of club soda or filtered water and drink it over crushed ice (not cubes... melts faster).

Mixing Jack Daniels with Coke is like putting a burka over Paris Hilton!

As for doing group health, find out where the nearest office of one of the big general agencies are in your area (Benefit Mall, LISI, Rogers Benefits, etc.) give them a call and tell them you'd like to meet to learn about their services. Most will send someone out to you, sit you down for two or three ours and explain Group 101 to you as well as give you a ton of good reference stuff to read.

Put your first few groups through them... let them make the sale for you (most will) and do the enrollment... while YOU sit back and learn the process and some of the gotchas. You will learn more from doing your first group with a GA than all the posts on this board.

And whatever you do, if you ever go to a bar or club or restaurant with an upscale client, don't ever order Jack and Coke (or anything and Coke) because that client is going to think you're an ***! It's a college-kid drink, not an adult professional's drink. (Also, don't order a "chick drink" like a Mimosa, Gin Fizz, Golden Caddie or Teq. Sunrise, L.I Tea, white wine etc. Order a "man's cocktail" ... anything on the rocks, Manhattan, Rob Roy, martini, , Bloody M, Gin&T, any kind of beer (even non-alcohol). Better yet, order whatever the client is having... unless it is a female client. Nothing looks dumber than a grown man sitting at the bar with a colorful "juicy sweet" cocktail with a paper umbrella in it! (Only gay guys or straights who are with a gay client in a gay bar can get away with it. I know these things so trust me!)

Al (the forum ***)
InsuranceSolutions123 Agency
Preserve your memories

 

[somarco]

Carve out's and class plans can be your friend. Some carriers will allow you to do it with just 10 lives, while others are more strict.

Say you have a group with 30 employees. Of the 30, five are owners and salaried employees; the rest are hourly. Set up the group plan to cover salaried only.

Another way is to differentiate by class. Same as above, but offer a rich plan to the salaried and a lesser benefit plan to the hourly.

Check with carrier reps to see what their guidelines are.