Marketing Plan N

[Frank Stastny]

The best demographics I've found for the Medicare market are:

Age -- start at age 64 and returns gradually increase by age through 79. There are sharp upward spikes at 82, 83, and 90 -- but I'd recommend capping age at 79 or 80 because of insurability and senility issues.

Income -- top responding group by far is $0-$15K, with returns gradually dropping through the brackets up to $60K. Then, they spike in the $60K-$70K bracket. After that, they begin dropping like a rock. I'd cap at $70K.

Geo -- rural almost always outperforms urban, unless you're looking for Dual-Eligible SNP customers.

Dwelling Type -- Rural Routes perform the best, followed by Apartments, with Single Family Dwelling Units coming in last. Don't forget that most agents never mail PO Boxes -- so I recommending testing them. About 80% of these will provide a contact phone number.

Hope some of this helps. Good selling to you all!

atlantainsguy

Good information.

When I order a list, I don't order "leads", I take a slightly different approach as I'm sure you know. I don't start with those 64, I begin at age 67 and like you stay away from those 80 and above. I have found the T65 people too difficult and time consuming to deal with.

I also set the income minimum at $15,000. I want to stay away from people on Medicaid, I don't sell MA plans. Other than that I have also found the income levels you stated to be spot on.

Between now and October 1 rural will definitely the most productive, however, I see urban having great potential after that.

I really haven't noticed much difference in dwelling type. I have a lot of clients ranging from apartments and trailer parks to upscale single dwelling homes.

 

[atlantainsguy]

The geo-demographic info, Hunter, applies to both MS and MA. The lower income groups tend to buy MA more than MS, as you probably already know.

If your goal is to cross-sell FE from a Medicare lead, then you will want to concentrate in the lower income brackets. $0-$15K is generally a problem, because many don't have checking accounts, and your persistency will hurt.

If your goal is to cross-sell Annuities from the Medicare lead, then concentrate in the higher income brackets.

Frank starts at age 67 because he wants Medicare "roll-over" business -- and people need to be in a plan for at least a year before they become fully-aware that it's not "quite what the agent said", or they otherwise are unhappy about Rx, co-pays, deductibles, their doctor dropped out of the network, company had a big rate hike, etc.

Turning-65 is a whole other critter. I recommend never mailing the month they turn 65, or the month before that -- because most will have already made up their minds. It's just too late, and generally a waste of time and money. Instead, start the 3rd month out, and then go back 4 months. Some agents even like to start at age 64, and be the first agent they talk to. I even worked with an old boy from OR once who mailed age 63, so he was definitely the first they talked to. Then, he kept in touch with calls, birthday cards, X-mas cards, and so forth. By the time they did turn 65, he had a very positive relationship and trust built -- and they all signed-up with him at the appropriate time. In the meantime he worked on their FE and other supplemental health products.

Hope this helps!

atlantainsguy

 

[medx]

Good Information.

The best demographics I've found for the Medicare market are:

Age -- start at age 64 and returns gradually increase by age through 79. There are sharp upward spikes at 82, 83, and 90 -- but I'd recommend capping age at 79 or 80 because of insurability and senility issues.

Income -- top responding group by far is $0-$15K, with returns gradually dropping through the brackets up to $60K. Then, they spike in the $60K-$70K bracket. After that, they begin dropping like a rock. I'd cap at $70K.

Geo -- rural almost always outperforms urban, unless you're looking for Dual-Eligible SNP customers.

Dwelling Type -- Rural Routes perform the best, followed by Apartments, with Single Family Dwelling Units coming in last. Don't forget that most agents never mail PO Boxes -- so I recommending testing them. About 80% of these will provide a contact phone number.

Hope some of this helps. Good selling to you all!

atlantainsguy

Medicare Information and Medicare supplement Insurance plans
American Seniors
www.americanseniors.com

Medicare supplement insurance website
National medicare Supplements
www.nationalmedicaresupplements.com