Group Insurance in TX

[joshril]

I know very little about group insurance...

I have a client that is buying individual policies, but inquired about whether group coverage would be beneficial.

Everyone, including the owner, is paid as as a contractor (1099). Is it even possible to do a group plan for them.

Also, what are the eligibility requirements? My understanding is the company needs 75% participation from full-time employees and the company must pay for at least 50% of each employees premium.

Please criticize the hell out of this... I know on can count on this board for that!!

 

[TXINSURANCE]

They can not do a group.

Period.

If you ever get any groups Josh let me know we can work it out.

 

[STIBROKER]

turned in a 41 man for rates today......

 

[TXINSURANCE]

Good job Sti...

People who are ALL 1099 and want a group is a fantasy.

People who want group because they think it is cheaper is generally a fantasy as well.

I get a lot of leads where people want "group quotes" on their 2 man canadian penny collection business. Not happening.

In Texas most carriers want to see the TWC reports. Ask them for their last quarter TWC reports. When you get a big HUH? Then you know you have no group as they have no "business".

 

[joshril]

Good feedback... I used to pass all my group business on to an old-timer agent... but he retired recently after being semi-retired for years...

I've done a couple of groups for friends, but they were easy deals... they already had group, had all the paperwork, etc. I'm definitely no expert on group stuff...

 

[HomeService]

a lot of ins companies will do a list bill, where the employer gets a bill of all the employees on there-then when somebody leaves or quits, he just crosses them off the bill, he collects premium from the workers and pays the bill { or not, sometimes the employer pays for it -for the workers, then we get into the 75% participation thing, and it gets to be a grey area}

 

[STIBROKER]

a lot of ins companies will do a list bill, where the employer gets a bill of all the employees on there-then when somebody leaves or quits, he just crosses them off the bill, he collects premium from the workers and pays the bill { or not, sometimes the employer pays for it -for the workers, then we get into the 75% participation thing, and it gets to be a grey area}

yea that will get you in trouble quick.......

 

[TXINSURANCE]

a lot of ins companies will do a list bill, where the employer gets a bill of all the employees on there-then when somebody leaves or quits, he just crosses them off the bill, he collects premium from the workers and pays the bill { or not, sometimes the employer pays for it -for the workers, then we get into the 75% participation thing, and it gets to be a grey area}

Illegal in Texas. Correct me if I am wrong Sti.

 

[Expat]

a lot of ins companies will do a list bill, where the employer gets a bill of all the employees on there-then when somebody leaves or quits, he just crosses them off the bill, he collects premium from the workers and pays the bill { or not, sometimes the employer pays for it -for the workers, then we get into the 75% participation thing, and it gets to be a grey area}

Definately a No No.
A lot of companies require the owner to sign a form that states he is not paying any portion of the premium.

 

[TXINSURANCE]

Mega / Health Markets is big on the list bill thing.

It stinks big time.