- 1,900
If you include the 6 year renewal trail on the Med Supp it is actually a 12x-15x ROI. I was estimating FYC ROI.
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I was trying to be conservative as well - keep in mind that is for telesales.
I'm sure F2F would be higher.
New to Med Sup
- Thread starter Mavrik
- Start date
If you include the 6 year renewal trail on the Med Supp it is actually a 12x-15x ROI. I was estimating FYC ROI.
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I was trying to be conservative as well - keep in mind that is for telesales.
I'm sure F2F would be higher.
Residentzombie
Expert
- 89
Regarding Medicare Advantage and Part D since these plans are funded with Federal tax Dollars, CMS makes the guidelines for agents to follow. Regarding telesales, you cannot be the one to initiate the first contact. You cannot even call a referral. They must call YOU first. If a client calls you and you sell a Part C or Part D policy over the phone you do NOT need to fill out a Scope of Appointment form since no appointment was ever made. The purpose behind the Scope form is to stop agents from cross selling other products other than what the beneficiary wanted. There is a sort of grey area in this though as technically you could market your services to anyone and when you meet F2F get the Scope form signed and return 48 hours later to pitch the MA or PDP product. It is best to avoid saying anything about Part C or Part D plans over the phone other than just that you offer them as an option if you are telemarketing. Regarding telemarketing, a seasoned telemarketer should be able to get 3 to 5 solid appointments in a 30 hour work week that are somewhat prequalified and should get at least 1 to 2 applications per week from that from a F2F sales presentation. Telemarketing isn't rocket science, but I would strongly suggest to get properly trained by a business that does telemarketing so you feel comfortable doing it. Regarding telesales, that one I never did so Chris Westfall would be the wiser to give an estimate on that. Be very careful regarding selling Part C and Part D and doing telemarketing though, CMS is very strict and you don't want them to suspend your license. Stay away from telesales with Part C and Part D plans. This is just one of the reasons agents refuse to offer MA plans, the lower commissions, the unfair regulations, having to take annual tests with CMS and EACH carrier, and the limited selling season make these plans a nightmare for most agents to sell and that is the way CMS wants it. You cannot even market Part C or Part D plans on social media websites. Talk about ridiculous. If you do want to sell Part C and Part D stick with F2F selling only. Oh and if you want your renewal commissions on your Part C and Part D plans but don't plan on selling them anymore, you still need to do all the annual tests required to receive your renewal commissions as well. Have fun with taking AHIP every year and another 5 to 6 insurance company tests for each carrier you wish to sell. Those tests get very old very fast, but they are beneficial for new agents because the tests go over everything you need to know. Oh keep in mind you have 3 chances to pass these tests and if you fail 3 times say bye bye next year to selling Part C and Part D and kiss your renewals goodbye as well. Remember the reason agents make renewals is because we service these policies and if you aren't licensed to sell you aren't licensed to service anymore either hence the justification for cancelling your renewals.
With telesales, you have a huge hurdle when you ask the client for their Medicare claim number to put on the application. Hence why telesales numbers are much lower than F2F, but you can cover a wider area than just your local market you live in. Make sure you understand the markets you are in. While UnitedHealthcare maybe the best option in one area, they may totally suck in another area. You owe it to your client to give them honest accurate advice about the market that they live in. If you treat all your clients with the care and respect you would do for your parents you should be fine.
You also must understand that certain Part C and Part D policies cannot be combined as well (non PFFS MA products cannot be combined with a stand alone PDP) and that Supplements must always be cancelled by member because Part C replaces CMS as claims payer and you don't want a complaint that you never told your client to cancel their supplements and they were throwing over $200/month out the window. Supplements are privately funded by members and Part C and Part D are mostly funded by tax Dollars. MA carriers replace Medicare as the primary payer of claims and that is why supplements don't automatically cancel like replacing a different Part C policy would.
With telesales, you have a huge hurdle when you ask the client for their Medicare claim number to put on the application. Hence why telesales numbers are much lower than F2F, but you can cover a wider area than just your local market you live in. Make sure you understand the markets you are in. While UnitedHealthcare maybe the best option in one area, they may totally suck in another area. You owe it to your client to give them honest accurate advice about the market that they live in. If you treat all your clients with the care and respect you would do for your parents you should be fine.
You also must understand that certain Part C and Part D policies cannot be combined as well (non PFFS MA products cannot be combined with a stand alone PDP) and that Supplements must always be cancelled by member because Part C replaces CMS as claims payer and you don't want a complaint that you never told your client to cancel their supplements and they were throwing over $200/month out the window. Supplements are privately funded by members and Part C and Part D are mostly funded by tax Dollars. MA carriers replace Medicare as the primary payer of claims and that is why supplements don't automatically cancel like replacing a different Part C policy would.
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Residentzombie
Expert
- 89
somarco is that a sarcastic remark direct towards me or other agents on this website? I am not CMS and didn't make the rules they set. I agree many agents don't know the rules hence why I am taking my time to explain it to new agents. I have 10 years Medicare insurance experience and I know what I'm talking about. I have been taking the AHIP tests ever since CMS first made them mandatory and every AHIP test covers these guidelines extensively both in the training material and in the test you need to pass.
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Cold calling is not legal for Med Advantage over the phone or in home appointments, The Prospect needs to initiate contact, Either by calling you like from a referral, Or a complaint lead like a compliant direct mail piece or compliant internet lead.
It must be the prospect initiating the conversation in some way.
Residentzombie
Expert
- 89
vic120, there is a small way around this but still is a pain to do. You telemarket for your services and set up an appointment at someone's house. You start off by talking about Medicare supplements only and mention to the client that you also offer MA plans and PDP plans as well, but due to CMS regulations they need to fill out the Scope form and you have to wait 48 hours to come back. You go back 2 days later and make the MA sale. The MA/PDP sale was generated by cold calling, but you still followed all the guidelines and you won't get in trouble with CMS. Remember CMS wants honesty and this is the ONLY way to telemarket for MA plans or you just don't do MA or PDP plans at all like Chris Westfall (and lie about why you don't offer them to seniors because they suck, they are bad plans, etc.). I appreciate Chris Westfall for his agent training stuff but despise the man for lying about why he refuses to sell MA and PDP plans as an agent. In fact I posted on his Youtube video about the real reasons why Chris doesn't want to sell MA/PDP plans and he deleted my comments. The truth hurts huh Chris?
- Thread starter
- #47
- 384
So you're saying MA doesn't suck?
Residentzombie
Expert
- 89
MA plans are fine for healthier people who aren't very ill. In fact most MA plans save most beneficiaries a ton of money over paying premiums every month. Most of my clients average less than $2,000 per year in co-pays (excluding PDP of course) whereas a supplement would run them around $3,000 on average. It depends on how often someone normally uses hospitals services. Remember too if MA funding is stopped by Congress and the plans go away, every member gets a guarantee issue period where they can enroll with a supplements with no health questions asked. It is up to the member to decide the type of risks they are willing to take, NOT the agent. An honest agent will offer all available products to the client and you help them decide what is best for them. Sicker people should mostly be with supplements due to excessive hospital/doctor use. This makes the supplement 'death spiral' worse though and why this battle exists. Dishonest agents like Chris won't tell your grandma he won't sell her MA because the commissions suck, the regulations are unbearable, and I can't sell these all year long anymore. It is true Congress (mostly Democrats) are attacking MA funding because it is privatizing a social welfare program and they need to find some more money for the ACA crap. Very true, but these are 2 years worth of ACA cuts and MA plans are still solid options for most people. If you read my longer post I cover all the reasons most Medicare agents won't license to offer MA or PDP plans and Chris Westfall is exactly that. He doesn't even sell PDP plans. PDP plans suck too Chris? Chris is lying about this issue but otherwise the man is spot on with everything else he talks about.
Also avoid as much as possible about even mentioning MA or PDP over phone while cold calling. Save that if you get an appointment. At the most you can mention you offer them and that's it (and that's even pushing the envelop). You really really don't want to bring those products up at all on a cold call. Cold call for your services only. If the client has questions on the phone set the appointment. Don't talk yourself out of an appointment over the phone by telling the client too much info. Many people think they can get insurance cheaper without an agent involved so some people will try to get the best plan from you and sign up for it on their own. You must explain to these people that having your services costs them absolutely nothing, it won't increase their premium and you are a greater benefit to add to the policy as a free advisor.
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- 1,446
The people who have MA and never use it tell me that the coverage is great!
Honestly I don't try to market MA plans, If it is a fit and the right plan Then I might sell it, I don't try to bait and switch but if they bring it up ( and I always go though the plus and minus) and they are stuck on MA I might sell it, But honestly I sell over 80 % medsup to MA,
You posted before about all the Ahip tests you take sounds like you are on info overload
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