Lazy and Brain Dead

Dec 17, 2007

  1. somarco
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    somarco GA Medicare Expert

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    Why are health care consumers lazy and brain dead?

    So far this month I have had 3 people tell me that it is easier for them to stay with their current carrier, and pay the higher premium, than to make a change.

    One lady openly told me she could not afford the $800+ premium coming in January. I showed her several alternatives, including one for less than $250 that would cover her pre-ex conditions, and she opted to stay where she was. She told me if the premium got to be too much she would call me.

    Another was looking for coverage for her daughter who takes Prevacid. The plan they have on her with BX is a $1000 deductible that is increasing to over $400/month for a 27 yr old female.

    I suggested a plan with a $2500 deductible & full coverage for $123.

    Her husband said the deductible was too high but would be willing to look at a $1500 deductible.

    I countered with a $1500 for $300 and full coverage for a medicine that runs $106 per month. I still suggested the higher deductible at a $300+ savings per month.

    They opted to keep BX.

    I faill to understand why people complain about the cost of health care and insurance but still insist on doing something stupid like paying more for less coverage.
     
    somarco, Dec 17, 2007
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  2. moonlightandmargaritas
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    moonlightandmargaritas Guru

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    If only logic sold, it would be a lot easier for all of us. Alas, it does not.
     
  3. djs
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    djs Super Moderator Moderator

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    Ahh yes, the moral to the story is clients don't like writing big, unpredictible checks. I run into this a lot in my P&C world as well. Checks they write monthly fit nicely into their budget, unexpected 'deductible' checks don't. I can almost guarantee you that same person has less than $10 in their savings account.

    This is my world:
    Mr Prospect, you can save a lot of money by increasing your auto deductible from $250 to $750, put the first years difference in the bank, just in case you have an accident, and then you can pocket the difference in the future.

    I've learned that a lot of people (wisely) realize that they can't afford $750 if they get into an accident, so they keep the lower deductibles. After all, isn't that what insurance is for? To help smooth out the bumps that the unexpected things in life cause?

    Of course, not much helps if you don't have a little bit of savings.

    Dan

    P.S. People are worse with deductibles in thier healthcare than they are with auto's. I guess they feel if they are paying a few hundred dollars a month, they should be able to use it for the day to day stuff.
     
    djs, Dec 17, 2007
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  4. Delta76
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    Delta76 Guru

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    I have plenty of similar stories. To me, I realized to be a prospect, four things need to be in place:

    1. Pain
    2. Ability and desire to work with me if I can help.
    3. Smart enought to make a decision.
    4. Profitable enough for the time involved (I can't be in the charity business)

    The difficult part is determining number 3 before you do all the work. I still haven't found a good way. However, when I realize number 3 may be lacking, I don't chase at all.
     
    Delta76, Dec 17, 2007
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  5. GreenSky
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    GreenSky Guru

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    The real product that drives me crazy is Med Supps. I can move a non smoking woman at 70 years old from Blue Cross Plan F to United World Plan F saving about $45 per month.

    The coverage is EXACT but I still hear the same old stuff. "Blue Cross has paid everything." I ask "Do you realize that all Plan F's are the same and pay the same?" The answer is ALWAYS "I understand that." My question then is "so then you can have the same benefits at about $500 a year less. Since there is no reason to pay more, is this something we can discuss?"

    Obviously some people still have brain cells but I just can't believe it when I get the answer, "No, I'll stay where I am for this year."

    WTF?!?!?!? These idiots would rather pay $500 more! Maybe I can sell them a cup of coffee for $10 also.

    Rick
     
    GreenSky, Dec 17, 2007
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  6. somarco
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    somarco GA Medicare Expert

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    One told me she wanted to stay put since BX was going to cover her meds.

    I suggested that BX is not covering her meds, she is. They charge her $300+ per month and allow her to fill the first 3 Rx at her expense before allowing her to buy the next 9 refills at a $60 per month savings.

    Her actual cost for the meds is $4500 for a medicine that, if paid for out of pocket, would cost $1200 per year.

    So she would rather pay almost 4x the cost of her med to have the carrier "cover it for her".

    Got it.
     
    somarco, Dec 17, 2007
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  7. somarco
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    somarco GA Medicare Expert

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    Great idea, but I think Starbutts beat you to it . . .
     
    somarco, Dec 17, 2007
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  8. 007
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    007 Super Genius

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    Good tips Delta.

    No Pain = No gain
     
    007, Dec 17, 2007
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  9. Frank Stastny
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    Frank Stastny Guru

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    With Med Supps, I've had people tell me they can't leave their current company because if they do they will lose all that money they have paid in premiums. Even though I can save them nearly $1,000 per year.

    I have heard this several times from people who have BC&BS.
     
  10. somarco
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    somarco GA Medicare Expert

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    Cash value med supp.

    Right . . .

    Consumers who do stuff like this have only two real reasons for keeping their current plan.

    Either they don't trust your recommendation.

    Or they are too ignorant to do what is best for them.

    In either case, there is no way to make the sale.
     
    somarco, Dec 18, 2007
    #10
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