MSAs Poised for Popularity? -- Lasso focused article

Aug 13, 2019

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  1. TwoCents
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    TwoCents Guru

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    TwoCents, Aug 13, 2019
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  2. Devin01
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    Devin01, Aug 13, 2019
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  3. yankee466
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    yankee466 Guru

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    How does one contract with LAsso? Direct or MGA? LAsso will be in Georgia for 2020, so might as well add it

    Have not seen a MSA plan in Georgia in years
     
  4. craig_ritter
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    craig_ritter Guru

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    Yankee,

    You can PM me! We have agent and MGA levels available. I can share our 2020 benefit grid with the Deposit and Deductible for the upcoming year and our training materials.

    Phil wrote a fair article, but we do believe that Medicare beneficiaries who have controlled chronic conditions (as opposed to no chronic conditions) can still see significant value from our MSA plan.

    Through August 8th, our members still have over 60% of their 2019 deposit balances remaining (on average) and 4.7% are through the deductible. Of those who went through the deductible, 72% went in patient, so we have filed a HIP plan in all states (except MN) to help solve for this. We hope it will be available by AEP in many states, but we are waiting on DOI's to approve our filing.
     
  5. Medicare Momma
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    Medicare Momma New Member

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    Craig Ritter really needs to get the credit he deserves for bringing this product to market IN THE FACE of opposition from all the insurance carriers. No one would help him, so by god, he started his own company to offer MSAs! That's a tough financial move (that may prove to be very lucrative) that has a lot of risk. Plus, Craig's not exactly got time to spare, since he runs Ritter Insurance Marketing. I'll stop here because I sound like I've switched teams, but Good Job Craig. I love your product and hope the market welcomes MSAs and we see a proliferation of this type of plans in the future. :noteworthy::noteworthy:
     
  6. Dave G
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    Dave G New Member

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    I placed a number of clients with Lasso last AEP. Most were already in MAPD plans but losing them due to plans being withdrawn from the market. The rest were Medicare disabled and found the MSA more attractive than Medigap Plan A. I did have one enrollment for a client with a large HSA balance who could easily afford deductibles.
    Only hitch was a couple of doctors offices not understanding they had to accept the plan or billing offices not sending claims directly to Medicare, just like in Original Medicare. These got resolved and things then settled down OK. None of my clients have yet to exhaust funds deposited into their accounts. Any unused funds are not lost but simply roll over to the next plan year.
    My only "complaints" with the MSA are: A) You can only enroll MSA plans during AEP or an ICEP; there is no SEP enrollment in these plans; B) Beneficiary cannot also make contributions to the MSA; only deposits by the plan itself are allowed. If govt. allowed client contributions like an HSA, these would be the plan of choice for many more people!
     
    Dave G, Aug 15, 2019
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  7. gregj
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    gregj Super Genius

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    Craig, thanks for the usage update. That "max-out" percentage seems to track with anticipated spending in any decent-sized population. Not-yet-65s I've talked to about Lasso's MSA concept in some of your newly opened states are now eager to get older :)
     
    gregj, Aug 15, 2019
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  8. me112233
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    me112233 Expert

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    I sold MSA plans 8-10 years ago. Clients loved them. The "risk" at that time was in the mid $2,000 range, not the much higher mid $4,000 range that I have seen suggested for my market this time around. That's going to be a tougher sell to risk-adverse senior citizens. Another thing, the way MA plans have been handling skilled nursing facilities has caused some seniors to come back to traditional supplement plans; not sure if this will impact MSA plans, as I can no longer honestly tell people that MA plans provide the same benefits that Medicare does, just packaged a little different.

    I would love to know if MSA plans will be using the MA model to deny benefits. (Medicare itself is an almost automatic approval of a skilled nursing facility following a hospital stay, easily in the 90% approval range; MA plans are quick to deny coverage, using virtually any excuse on the planet).
     
    me112233, Aug 15, 2019
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  9. Bob L
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    Craig, come to Tennessee! I've wished we had good MSA plans here for years.
     
    Bob L, Aug 15, 2019
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  10. LostDollar
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    LostDollar Guru

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    Caveat. Not an agent.

    I agree. From the perspective of a medicare beneficiary it is silly that there is no tax advantaged medical savings opportunity for those on Medicare (who can afford the contributions) like those that the under 65's have. It would be nice to be able to move some social security receipts to future years for medical expenses rather than paying them to the govt/IRS in taxes.

    From the perspective of the IRS--well, I imagine things are fine the way they are.

    Politicians, probably the same. If the income tax on social security went away, they would have to "gore somebody else's ox".