Maine Granted MLR Waiver As Carriers Threaten to Pull Out

[houcoogster]

Where can I get a good contract with Mega? Looks like they have carte blanche.

 

[Ann H]

Not that I'm supporting Mega Life at all however, do at least know that Mega Life was not allowed to sell their scheduled plans in Maine and has to comply with every Maine mandate.

They tested the waters and ran afoul of Maine a few years back and Maine straightened them out.

They also can't set whatever rates they want in that state: MEGA Life Fined $1M In Maine For Flawed Premium Method

Thanks for setting me straight on those facts. It's just when I hear "Mega", it sends shivers up my spine.

 

[sman]

Thanks for setting me straight on those facts. It's just when I hear "Mega", it sends shivers up my spine.

So MEGA does for you what Obama does for Chris Matthews? (except the shivers go down his leg)

 

[Norwayguy]

Hasn't Dirigo been closed to new applicants for the last 2 years?

For Individuals yes...It has been possible for Self Employed people to get a policy without discount.

You will forgive me as I'm still amazed that Mega has a 37% market share which goes to show how little market there is for Individual plans in Maine.

 

[Crabcake Johnny]

65% MLR....and let's see the commission chain. When a Mega policy was sold Health Markets needed a cut, UGA (marketing arm) needed a cut, then regional manager, division manager, district manager and finally the agent. I'm surprised their MLR isn't 15%.

 

[Post Quartermaster]

So....since this isn't sinking in and since this literally killed the careers of thousands of health agents....Mega Life threatens to pull out...with a 65% MLR and HHS caves?

I feel like I'm literally in a Twilight Zone episode.

That just made my lol of the day.

 

[taterpeeler]

65% MLR....and let's see the commission chain. When a Mega policy was sold Health Markets needed a cut, UGA (marketing arm) needed a cut, then regional manager, division manager, district manager and finally the agent. I'm surprised their MLR isn't 15%.

dont forget the reap bonus and the big time stock options....

 

[AllenChicago]

This Maine exemption is GREAT NEWS!!

Wouldn't it be ironic if it's MEGA LIFE that starts the domino effect which ends up increasing our commissions back to pre-MLR levels?

I hope other companies will follow Mega's lead in other states. It's amazing that just the threat of a state pull-out by a high-overhead company like Mega caused HHS/Sebelius to cry "Uncle!". I wonder if Obama will call her to his office for a good spanking? As someone said earlier in this thread, HHS is rolling back Health Reform single handedly with all these corporate and now, state waivers.

If health insurance sales industry-wide have declined, companies that truly want to increase their market share will also increase commissions in the states that receive MLR waivers. That's my hope anyway. Fingers Crossed!
-AC

Maine has become the first state to become exempt from the MLRs. I wonder how the other 55 states feel about this?

And if I'm reading this right, Maine was granted a waiver only because Mega Life threatened to pull out of the market? They're currently running a 65% MLR? Totally insane.

Health care reform waiver granted to Maine - Boston.com

"The U.S. Health and Human Services department announced Tuesday it's delaying for three years a requirement that insurers spend 80 cents to 85 cents of every premium dollar on medical care and quality improvement after one of three insurers offering individual plans in Maine threatened to withdraw from the state."

 

[JAngelson79]

I just play this all day long while working, it seems to fit so well

YouTube - Golden earring - Twilight zone

Great song though...

 

[Josh]

Wouldn't it be ironic if it's MEGA LIFE that starts the domino effect which ends up increasing our commissions back to pre-MLR levels?

Yes, but commissions aren't going back. That part of history has already happened. Let's not forget, it's not just MLR, it's that whole GI BS.

Peter: At least Maine has an individual market! Take a look at your friends over in NY, they don't even have the option of buying that junk, they have to get the ridiculously overpriced junk. Even the programs for folks that qualify for subsidized plans based on income pay more than most folks do for a regular IFP in a non-asanine state.