Just a Warning for Those Selling New Era in Georgia

[sman]

This goes for Pennsylvania as well. They have a 6-month pre-ex clause for these two states, even for those enrolling during open enrollment. Make sure you disclose this to the client and if they have prior coverage that has been in force for more than 6 months, be sure to put that on the application so they get coverage for pre-ex on day one. If they do not have prior coverage (within the last 63 days) or if it hasn't been in force for at least 6 months, don't write New Era.

I came across someone today who had been told New Era was the cheapest for him (which it is) and that's who who planned on going with next month when he turns 65 and goes on Medicare. However, the agent did not explain the pre-ex clause and this gentleman has been without coverage for 8 months and has COPD. Had he moved forward with the New Era plan he would have been SOL on them paying anything related to COPD for the first 6 months. This includes the oxygen he uses daily. He wasn't too thrilled to hear the agent didn't explain that to him.

 

[jayrayl]

That is very good to know. Thanks for the info!

 

[thall]

Great info, thanks! t hall

 

[G.Gordon]

Great reminder across the board. Most companies have totally taken Pre-x out of the contracts, but there are a few that have the clauses. For those rare beneficiaries that have been without coverage before entering medicare, could prove to be costly in dollars for them and reputation for the agent.

 

[bigeats]

Yes, thanks for passing that along.

 

[ALG]

When it sounds to good to be True, there is a reason.

 

[sman]

What is it that is too good to be true?

When it sounds to good to be True, there is a reason.

 

[Jessica Durphy]

NO, New Era is a great company to write for, if you're looking to beat others rates!! BUT like SMAN said, the pre-x clause is still an issue with this company for 6 months if the client hasn't had Creditable coverage! He's just saying to be aware of it! If they've had previous coverage and have no issues (or T65) then you really don't have a problem~ write them and trust me, everybody will be a happy camper!

 

[sman]

T65 people don't get a pass. They must have prior coverage as well or they have the pre-ex problem too. Not sure if that's what you're saying, but wanted to make it clear.

If they've had previous coverage and have no issues (or T65) then you really don't have a problem~ write them and trust me, everybody will be a happy camper!

 

[Longtimeagent]

Just trying to figure out how they can get away with not covering T-65 and their pre existing conditions. Isn't that a violation of the guaranteed issue status of Medicare supplements? I have heard of snakes in the grass, but that's ridiculous. There are going to be a lot of people turning 65 that haven't had coverage for a while because it is so freakin' expensive and they weren't covered under their employer (or COBRA).
It sounds like a good rate, but with some consequences. Write UoO instead!