Medicare's New Rules

Discussion in 'Senior Insurance Forum' started by midwestbroker, Sep 15, 2008.

Tags:
  1. midwestbroker
    Offline

    midwestbroker Guru

    Posts:
    2,343
    Likes Received:
    4
    State:
    Kansas
  2. MedSuppPro
    Offline

    MedSuppPro Guru

    Posts:
    1,214
    Likes Received:
    0
    Thanks Midwest!

    :goofy: WEIRD STUFF!!!:goofy:

    After the 2009 baseline year, no entity may provide, and no agent or broker may receive, compensation greater than the renewal compensation payable by the replacing plan on renewal policies if an existing policy is replaced with a like plan type during the first year and 5 renewal years. “Like plan type” refers to PDP, MA or MA-PD, or Cost plan. Examples of replacements with like plan type are—PDP replace with another PDP, MA or MA-PD replaced with another MA or MA-PD, and cost plan replaced with another cost plan. If a PDP is added to an MA-only plan, then a new commission is paid for enrollment in the PDP.​
     
  3. insurance0707
    Offline

    insurance0707 Guru

    Posts:
    1,230
    Likes Received:
    2
    only the government could come up with that. The MA and MAPD plans are having cut backs on funding (unless they change that) and that means the plans will either raise premiums or cut benefits. If the agent gets paid very little to come out and explain benefits, submit the app, etc. I doubt many will do it. it looks to me that the consumer will be worse off for this rule.
     
  4. patch36
    Offline

    patch36 Guru

    Posts:
    1,066
    Likes Received:
    3
    State:
    Missouri
    I am in meetings most of the week with a couple carriers and should get some clarification of what the compensation rules really mean. My interpretation of the above excerpt leads me to believe the sky is falling ;)
     
    Last edited: Sep 16, 2008
  5. dandan
    Offline

    dandan Guru

    Posts:
    354
    Likes Received:
    0
    Many of you know how I feel about MA plans, and if I don't want to be stubborn I will admit there may be a place for some of these plans.

    But at what point are we as AGENTS going to stand up and quit being taken advantage of??
     
  6. insurance lady
    Offline

    insurance lady New Member

    Posts:
    5
    Likes Received:
    0
    Does anu one know any thing about the company Ameri Life. They are big in the senior Market.

    Thanks

    The Insurance Lady
     
  7. moonlightandmargaritas
    Offline

    moonlightandmargaritas Guru

    Posts:
    9,751
    Likes Received:
    19
    State:
    Florida
    Don't walk, RUN away as fast as you can...
     
  8. MedSuppPro
    Offline

    MedSuppPro Guru

    Posts:
    1,214
    Likes Received:
    0
    This will kill MA / PDP indi sales in 2010! For 2010, CMS will start tracking agent of records and will then provide carriers the necessary info to make sure renewals are paid. Agents whom service their clients and advise a more suitable carrier will get paid much less for their efforts. The carrier that is replacing will then pay renewals (max 6 years total!).

    Pyramid home office people are popping corks now! Whether your 100% MedSupp or anti MA -- this stupid anti consumer 6 year drop-off commissions rule will leave alot of consumers without an advisor.

    Good news for the carriers and home office captive agents. (i.e. Humana)

    Bad news for the client + 6 years out! :mad:
     
  9. jdeasy
    Online

    jdeasy Guru

    Posts:
    16,524
    Likes Received:
    50
    State:
    Kentucky

    Spot on!
     
  10. theinuranceguy
    Offline

    theinuranceguy Guru

    Posts:
    936
    Likes Received:
    3
    But if someone else writes your client they get paid a commission? hmmmm....
     
Loading...

Share This Page