But the real danger is agents even mentioning MA plan without proper consent a scope and 48 hour "cool off" period
But the real danger is agents even mentioning MA plan without proper consent a scope and 48 hour "cool off" period
Not if you are the agent on the group plan. I know some agents that write Medicare plans "automatically" by picking them up when they retire. Those same agents will write Obamacare plans on folks under 65.
Their contact information is provided during the exit interview.
Not always, but in some cases. If the broker has a good relationship with HR and the carrier it can be done. You just haven't seen it done so you find it hard to believe.
I met a broker years ago that wrote hundreds of STM plans on employees that lost their group coverage. He also set up group plans with 90 day waiting periods for new hires. Almost every one of the new hires bought an STM from him.
Just niche marketing and using your head to think outside the box.
I met a broker years ago that wrote hundreds of STM plans on employees that lost their group coverage. He also set up group plans with 90 day waiting periods for new hires. Almost every one of the new hires bought an STM from him.
Just niche marketing and using your head to think outside the box.
AllyriaRedbird
Expert
- 71
Thanks for posting this article Fleur, and totally relevant to me as I work in NM.
Keep your eyes peeled, ya'll. Medicare Advantage plans rock! NOT.
Isnt this screwing the client over for a paltry commission? I know some group plans have a probation period of 90 days after hire before benefits begin but to design the plan like that so you can sell 90 days worth of STM?
I don't recall all the details. This all happened before you were born. At the time some STM plans were paying 20% commission, maybe higher.
He used this in high turnover industries where new hires rarely lasted more than 60 days. Less hassle for the employer and agent.
This was just an example of a guy creating his own niche. It also allowed him to get a foot in the door by pitching the idea to prospective clients. Employer changed waiting period to 90 days (if not already there). Agent wrote STM. Employer liked the idea. Gave agent the group business either by AOR or allowed him to take over at renewal.
I found this really creative. One of the best ideas I have run across in years.
Probably wouldn't work today with all the Obamacare rules.
It's like the agents that focus on payroll deduction. Some agents have built their agency by focusing solely on ancillary life, STD, cancer, etc.
Sorry to hijack this thread. I agree the seamless conversion isn't right for the new Medicare enrollee who is hijacked.
I run into people like this all too often. Seems to happen more with BX than any other carrier but that could be my imagination. The former employee thinks they have a supplement plan when in fact they have an MA plan.
Many also think they have been pre-paying for this coverage during the years they were on the group plan.
In Georgia the SHBP (State Health Benefit Plan) is available for state and local govt employees as well as public school employees. When they are enrolled they are told this is the only opportunity they will have to join the plan. If they leave they can never come back.
I have no idea if this is true or not. I have looked through the SHBP literature and have yet to find that codicil.
So you have employees who believe they have EARNED a right to this benefit and it is once in a lifetime. Trying to change that mindset is a waste of my time so I move on.
What really singes me more than the seamless conversion is large employers that have terminated their retiree plan and replaced it with an HRA. They usually contract with someone like Towers Watson to administer the plan and counsel soon to be retirees on their options.
Employees are encouraged, and sometimes bound contractually, to purchase coverage only through the "exchange" established by TW. If they buy elsewhere they lose the $1500/yr HRA contribution.
Some plans require employees to buy all their Medicare coverage (MA or Medigap) through the consultant, others say the retiree must buy something (such as a PDP) and recently I ran across one group that imposes no restrictions whatsoever. Retirees can buy coverage anywhere and still get the HRA dollars.
He used this in high turnover industries where new hires rarely lasted more than 60 days. Less hassle for the employer and agent.
This was just an example of a guy creating his own niche. It also allowed him to get a foot in the door by pitching the idea to prospective clients. Employer changed waiting period to 90 days (if not already there). Agent wrote STM. Employer liked the idea. Gave agent the group business either by AOR or allowed him to take over at renewal.
I found this really creative. One of the best ideas I have run across in years.
Probably wouldn't work today with all the Obamacare rules.
It's like the agents that focus on payroll deduction. Some agents have built their agency by focusing solely on ancillary life, STD, cancer, etc.
Sorry to hijack this thread. I agree the seamless conversion isn't right for the new Medicare enrollee who is hijacked.
I run into people like this all too often. Seems to happen more with BX than any other carrier but that could be my imagination. The former employee thinks they have a supplement plan when in fact they have an MA plan.
Many also think they have been pre-paying for this coverage during the years they were on the group plan.
In Georgia the SHBP (State Health Benefit Plan) is available for state and local govt employees as well as public school employees. When they are enrolled they are told this is the only opportunity they will have to join the plan. If they leave they can never come back.
I have no idea if this is true or not. I have looked through the SHBP literature and have yet to find that codicil.
So you have employees who believe they have EARNED a right to this benefit and it is once in a lifetime. Trying to change that mindset is a waste of my time so I move on.
What really singes me more than the seamless conversion is large employers that have terminated their retiree plan and replaced it with an HRA. They usually contract with someone like Towers Watson to administer the plan and counsel soon to be retirees on their options.
Employees are encouraged, and sometimes bound contractually, to purchase coverage only through the "exchange" established by TW. If they buy elsewhere they lose the $1500/yr HRA contribution.
Some plans require employees to buy all their Medicare coverage (MA or Medigap) through the consultant, others say the retiree must buy something (such as a PDP) and recently I ran across one group that imposes no restrictions whatsoever. Retirees can buy coverage anywhere and still get the HRA dollars.
- 29,487
Congratulations on hitting 25,000 posts Bob!
I'll bet there will be some heated discussions going on in the 25,000 Post Club.
- 1,900
Congratulations on hitting 25,000 posts Bob!
Bob is going to be immediately transforming into a forum moderator now that he has reached 25K !
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