Independents Hanging On?

[ABC]

Had an interesting meeting with one of the carriers for group benefits.

They basically told me that all of the independents are just hanging on to their block and not writing any new business.

Anyone seeing this trend also?

 

[Bruce]

I lost a group last week.

So, there's at least one broker writing new biz.

 

[ABC]

I lost a group last week.

So, there's at least one broker writing new biz.

Sorry to hear that.

Would you mind posting what happen?

Thanks

 

[adamhawley]

ABC,

Don't all carriers say this about their producers? I could especially see this in the health world right now, but this seems no different than Allstate saying their agents are just squatting on renewals.

Please forgive my ignorance if I'm way off track. I have little experience in health lines.

 

[Bruce]

Sorry to hear that.

Would you mind posting what happen?

Thanks

20 lives. April renewal 26% negotiated to 18%. Other options for near same benefits around 12% or so. They moved for +5% with a pretty good cut in benefits, an option I covered with them but didn't recognize the interest level they had.

My mistakes were

1. Not recognizing the total cost pain.
2. Not being close enough to the client after the renewal.
3. Spending too much time on a couple prospects and taking my eye off the ball.

I got what I deserved.

 

[ABC]

Bruce
Thanks for posting and being honest about it.

Adam, the brokerage industry may very well be different than the captive market.

I am sure in both carriers will complain about production.

For the Health Industry I think the independents that are left have one foot in retirement.

I picked up an AOR last month because of my knowledge but my aged played a factor. The client stated she did not want a young buck and did not want someone close to retirement.

 

[HarryDaBroker]

Had an interesting meeting with one of the carriers for group benefits.

They basically told me that all of the independents are just hanging on to their block and not writing any new business.

Anyone seeing this trend also?

i see a lot of fear in the market with the uncertainty of hr 3962. i almost tripled the book of business with the broker that i partnered with in just 2 years. i guess this is nothing after the housing bubble bursting on me in real estate...

 

[gussle285]

I have spoken with 2 different regional group managers ( 2 carriers) in the last month that have said the same thing. I decided to slowly transition into the group market after Obamacare was passed and indy health went into the toilet from a commission perspective.

Had an interesting meeting with one of the carriers for group benefits.

They basically told me that all of the independents are just hanging on to their block and not writing any new business.

Anyone seeing this trend also?

 

[hunting101]

in Pa all the big players are cutting commissions..............Health America is paying 14.00 a cert, Geisinger pays 16.00 a cert.......................The blues are paying 24.00 a cert......

I remember the ole days when my primary carrier payed 10%......

 

[moonlightandmargaritas]

I remember the ole days when my primary carrier payed 10%......

I'll bet you remember when they paid 10% too.