Large Companies Weigh Dropping Benefits

[somarco]

So the 80% thing is the problem.

It is ONE of the problems.

The others being . . .

Carriers must cover anyone, regardless of existing medical conditions.

Individuals may opt out of health insurance, pay a fine, then buy insurance when they need it.

Government is exerting pressure on carriers to limit or deny requested rate increases.

Government is mandating benefits that are not usually covered now.

 

[Norwayguy]

So who is going to be able to afford it? And if it is subsidized, do you think you'll get commissioned on the subsidized amount?

I'm not disagreeing with you and no I don't think we will be commissioned on the subsidy amount. I'm just pointing out a 20% commission dropped to 10% requires 2x the sales is not accurate in that other factors will change as well.

Now that I think about it maybe we will be commissioned on the subsidy...depends on how this works, will the government setup the subsidy so that only the net premium is paid? also why wouldn't the insurance company comp this amount they are getting paid it.

 

[VolAgent]

I'm not disagreeing with you and no I don't think we will be commissioned on the subsidy amount. I'm just pointing out a 20% commission dropped to 10% requires 2x the sales is not accurate in that other factors will change as well.

Now that I think about it maybe we will be commissioned on the subsidy...depends on how this works, will the government setup the subsidy so that only the net premium is paid? also why wouldn't the insurance company comp this amount they are getting paid it.

Honestly, who knows. Now, I wouldn't allow agents to be comped on the subsidized amount. But as we all know, I'm not in charge and no one in charge cares what I think.

I do know this, I don't see how this can positively has a good outcome. If there is no preex, then people will only get insurance once they get sick, raising premiums through the roof. If there is, then most won't get insurance at all because they still can't afford it, and the hospitals will all close because all they see are charity cases.

 

[tajitj]

If there is no preex, then people will only get insurance once they get sick, raising premiums through the roof.

True, so maybe most realize they can get a cheap Accident and Critical Illness and only sign up for major AFTER they are diagnosed with anything needing long term care.

So are there no restrictions that prevent someone from going to Dr. getting a few xrays, or blood work, it showing a cancer or somthing like kidney disease. They could then go home after night in hospital, call up a local agent and get major med policy with small deductible and next week they start treatment or have a major surgery. That would be insane.

There has to be language that prevents that kind of outright abuse. People could be in for a huge awakening if they think they can just pay that fine and basically retractively get coverage.

 

[VolAgent]

There has to be language that prevents that kind of outright abuse. People could be in for a huge awakening if they think they can just pay that fine and basically retractively get coverage.

You assume too much of our politicians. All this uproar was over people being denied coverage for pre-existing conditions. So they simply outlawed denying coverage for pre-existing conditions. It is too much to assume they actually thought to put any limitations in place.

 

[somarco]

Congress and the White House have no idea what they have done. No surprise there. No real world experience in private industry.

And HHS Sebelius isn't any better. A complete ***.

 

[Norwayguy]

And HHS Sebelius isn't any better. A complete ***.

You sir have insulted idiots everywhere Just like comparing politicians to drunken sailors is insulting to drunken sailors everywhere...they at least stop spending when they run out of money

 

[djs]

My guess, and only a guess, is the subsidized amount will not matter for comp, unless the carriers become real cheapskates. Ooops, that means it might matter

Seriously, the subsidy brings the premium to the full amount for the carrier. The carrier is not subsidizing the premium, taxpayers are. Since the carrier still collects the full amount, I would assume you would get the normal commission.

While I have no insight into this, I'm of the opinion that commissions for an exchange based plan will be a flat fee, not a percentage. I don't think anybody really knows yet.

Dan

 

[stuy119]

Carriers are giving commissions based on COBRA subsidy money currently, so there is a precedent.

Not sure how it would work down the road.

 

[Crabcake Johnny]

The dumbest concept this country ever came up with is employers offering health insurance. This should have been nipped in the bud after WWII.