Need Voice of Experience: Leaving a Captive Agency

[dst100B]

Sorry for the length.......I just left a captive agency and they not only charged me for my bond (which I am prepared to pay back), I was also charged for advances. All in all, about $2700.00. I left about a month ago. I will do what I have to do to get free from them. So will make payments.

But here is the other clincher. They will only release me to their other marketing group (IMO?), and not any other carriers, IMO, agency etc..
That group will not release me for another 2 years.

I called Humana and they said after a year, I can resign up again. I have also heard that for MAPD, it is only a 6 month period. I asked the agent services rep at Humana what did that mean? Did that mean I could sign up under another agency at that time or just released to me? She said this agency was a strategic partner with Humana and that is all she knew. I asked for more clarification and to speak with a Supervisor. She seemed to get angry and put me on hold and never came back. She was quite nasty.

So if I pay off my bond and advances (which is pure BS since the agency will continue to receive payments from the policy owners) and not be released to their Internal IMO, will I always be connected to this Agency?

Also, if after 6 months or a year with no activity with a carrier under this Agency, can I still sign up with this carrier (ie Humana) under another agency?
With Cigna, it is two years.

This has been a nightmare, and financial disaster for not taking the time to read the small print. I might NOT be able to keep a $12.00 an hour call center job because of my tie to this agency.

I am a really hard worker, but having to drive 40 minutes every morning to attend a meeting and leaving less motivated was more than I could stand. I loved working in the Senior Market and felt I was doing a real service for my clients. I am just too financially challenged and stressed out to continue on commission.

Can someone set me straight on how this all works, and options I may have with trying to free myself forever from this organization. How embarrassing.

Thanks much.
embarrassed:

 

[Experienced Agent]

Sorry for the length.......I just left a captive agency and they not only charged me for my bond (which I am prepared to pay back), I was also charged for advances. All in all, about $2700.00. I left about a month ago. I will do what I have to do to get free from them. So will make payments.

But here is the other clincher. They will only release me to their other marketing group (IMO?), and not any other carriers, IMO, agency etc..
That group will not release me for another 2 years.

I called Humana and they said after a year, I can resign up again. I have also heard that for MAPD, it is only a 6 month period. I asked the agent services rep at Humana what did that mean? Did that mean I could sign up under another agency at that time or just released to me? She said this agency was a strategic partner with Humana and that is all she knew. I asked for more clarification and to speak with a Supervisor. She seemed to get angry and put me on hold and never came back. She was quite nasty.

So if I pay off my bond and advances (which is pure BS since the agency will continue to receive payments from the policy owners) and not be released to their Internal IMO, will I always be connected to this Agency?

Also, if after 6 months or a year with no activity with a carrier under this Agency, can I still sign up with this carrier (ie Humana) under another agency?
With Cigna, it is two years.

This has been a nightmare, and financial disaster for not taking the time to read the small print. I might NOT be able to keep a $12.00 an hour call center job because of my tie to this agency.

I am a really hard worker, but having to drive 40 minutes every morning to attend a meeting and leaving less motivated was more than I could stand. I loved working in the Senior Market and felt I was doing a real service for my clients. I am just too financially challenged and stressed out to continue on commission.

Can someone set me straight on how this all works, and options I may have with trying to free myself forever from this organization. How embarrassing.

Thanks much.
embarrassed:

There are several issues here. First, trying to get contracted with previously contracted companies. can put you in touch with a good FMO to address this. The answer is that you will have to wait to get contracted with many/most of these companies. Make an excel spreadsheet and list all the companies you were contracted with and dates that you can re-contract. I believe I was licensed with the same company as you years ago. They will not let you go!!! The carriers will honor that companies contract and yes there are some contracts that are go beyond the normal restriction period. There are a many different rules as there are companies. Again I can refer you to a good FMO to help with this. Also, an FMO that will give you a release if you ever need it.

You will also have to list the many alternative companies you can contract with. You should be fine with final expense, medsups and indemnity products. There are a ton of these companies. I wouldn't stress the medicare advantage, especially Humana, they are going to lose a lot of market share this year and I think that trend will continue if the sale to AETNA is completed.

This is the second thing you have to address; can you change your business model. This is your opportunity to change things up and build a medup based business rather than the med advantage. Embrace this shitty situation or let it eat you up. Most every agent has had major shakeups to their business. You roll with the punches and move forward. Not trying to preach but your not in bad shape 6 to 10 months and all this will be behind you, in the meantime you can kick ass with some other companies and products.

My final thoughts are that you shouldn't be concerned about a $12.00 hr call center job. That's chump change. Get with me and ill tell you what you need to do to get back in the game quickly.

Again, I've been exactly where you are except I knew what was going to happen before I left. So I already had new my contracts pretty much finished before I walked out the door.