MAPD companies losing millions

[PCBI]

Folks that think MAPD is here to stay with all the free benefits are fooling themselves. Free dental free groceries free workout facilities. Now beneficiaries get free golf reimbursement on some carriers

Agents are going to be the first AXE in the collapse. Be smart and diversify your biz!!

Humana posts big loss, dour outlook on Medicare Advantage cost spike

The health insurer’s stock plunged Thursday morning following its 2023 results, which fell startlingly short of Wall Street’s expectations.

www.healthcaredive.com

 

[straightnochaser]

We just need a pinned thread for all the doom and gloom.

 

[Chazm]

We just need a pinned thread for all the doom and gloom.

He posted an article from Jan like this is new news.

Insurance companies will increase their copays and still pay agents. There’s tremendous profit in these plans, but slim margins. Thats all.

The guys at the bottom, I won’t say who, will suffer because they don’t service their clients.

 

[Special Agent]

We just need a pinned thread for all the doom and gloom.

better yet a Medicare Supplement Only Agent sub category under Senior Insurance Forum.No need for a seperate MA ONLY Agent category because most well rounded agents here understand and are able to suitably sell both.

 

[MedicareWAA]

Fun fact - Medicare is the single most profitable line of business for managed care companies today. Medicaid is a golden goose also. A specific company may win or lose in some period of time but overall this is such a lucrative market for everyone of a decent size. The big 5.

Also carriers make money from Advantage in different ways, including PBMs and provider groups and sometimes even reinsurance. The economies of scale and negotiating leverage help also. Hell many contracts are fully capitated now. The carrier collects a nice toll on the administration and collects more from their PBMs and providers and technology and so forth.

Advantage plans are under pressure - this is cyclical - but it’s ridiculous to claim/insinuate the market is ruined or that everyone will leave it in the next few years. The people who make those claims don’t know all the details about how this works under the hood.