MedSup Rate increase

[eagles12]

I received a notice from Mutual of Omaha that their rates for Plan F are going to
increase by 9% on October 1. I have several clients with this company. Should I contact them
to let them know about the rate increase and to ask them if they'd like me to shop for a better
rate or stay where they are?
Should I ask if they'd prefer the Company's plan-G if they qualify? The Plan G is very competitive
in this area. Thanks.

 

[Todd King]

You should not be asking them if they prefer it....you should be explaining why they want/need it over Plan F.

 

[somarco]

Quote your best F rate, then suggest a way to save even more $$$

If you don't start with an apples to apples comparison they will probably think you are trying to sell them an inferior plan

 

[mickeyma]

You're so right, Somarco.

 

[DS4]

I received a notice from Mutual of Omaha that their rates for Plan F are going to
increase by 9% on October 1. I have several clients with this company. Should I contact them
to let them know about the rate increase and to ask them if they'd like me to shop for a better
rate or stay where they are?
Should I ask if they'd prefer the Company's plan-G if they qualify? The Plan G is very competitive
in this area. Thanks.

Send me a list of your clients and I will take care of this problem for you.

 

[GoPokes]

Send me a list of your clients and I will take care of this problem for you.

Will you charge the agent for providing this valuable service, or is it just out of the kindness of your heart? The world needs more agents like you

 

[Devin01]

I would think kindness .lol

 

[sshafran]

I received a notice from Mutual of Omaha that their rates for Plan F are going to
increase by 9% on October 1. I have several clients with this company. Should I contact them
to let them know about the rate increase and to ask them if they'd like me to shop for a better
rate or stay where they are?
Should I ask if they'd prefer the Company's plan-G if they qualify? The Plan G is very competitive
in this area. Thanks.

I (personally) don't call individual clients for rate increases. I assume we'll talk during AEP most likely.

 

[sshafran]

I (personally) don't call individual clients for rate increases. I assume we'll talk during AEP most likely.

Also, be careful with changing f to g with same carrier (or parent company). I think it can be lower comp (haven't done it in a while) with many of them (not all).

We don't want lower comp...

 

[somarco]

I don't write any of the MOO carriers but it is my understanding there is $0 comp for rewrites.

I don't call clients about rate increases but every one gets an email. This is my current one.


The Georgia Medicare supplement market is in turmoil. Every month new carriers are entering the state. Currently there are over 60 carriers writing Medigap policies.

That is double the number from 3 years ago.

Every carrier is scrambling to capture market share. Low rates. Production bonuses for agents. Trips. It's like a give away program.

You know my preference is carriers with at least a 5 year history of writing Medigap plans in Georgia. However, it is increasingly difficult to find carriers that meet that criteria. Today only a handful have been writing the G plan in Georgia at least 5 years.

Because of the highly competitive market and my desire to help clients save money, I am very selectively taking on new carriers with currently competitive rates. These carriers will probably be here at least until 2020 when I expect a new wave of carriers.

You recently received a renewal rate increase. As you know, I do my best to stay on top of renewal rate action and provide alternatives for consideration.

I don't like what is going on in the market any better than you do. Sticking my head in the sand and hoping things will change is not an option.

Changing plans requires underwriting. Complete a new application. Answer health questions. List current and recent medications. Telephone interview with an underwriter.

The process is relatively simple and non-intrusive. I can give you a good idea about your chances for approval in a 5 minute phone interview. Recent medical history (last 5 years) that reveals a heart condition, stroke, internal cancer, breathing difficulty or cognitive issues present a challenge.

If you want to entertain a change, and you pass underwriting, your new rate could be $XXX

Underwritten applications normally take 7 - 10 days to process and reach a decision. If you want to make a change during October through December it will take much longer. At least a month, maybe more.

Let me know if you want more details.




I also include a link to this video