News & Info Related To 2017 Open Enrollment

[houcoogster]

WHY would health insurance companies who lost +$100,000,000 (over a hundred million) in 2015, and expect 2016 to be as bad, or worse, come back to the Exchanges in 2017???

SEP people only accounted for 30%-40% of the losses. The majority of medical claims came from people who signed up during open enrollment. If health insurers signed up no one at all outside of open-enrollment, they still would have lost a ton of money.

Could it be that their losses are being offset "under the table" by our government? I really have a hard time believing that FOR PROFIT companies would voluntarily hurt themselves and their shareholders, by locking in a 3rd consecutive year of losses.

This is a good question, I've been wondering the same. This may shed some light on the situation. I was reading about the SERious economic situation in Venezuela... rampant inflation, shortages of milk and many other essential items. So I came across an article about the Oreo cookie company, well as it turns out they are losing big money in Venezuela so much they aren't even sure how bad the loses are, but last year was $778 Million. Other firms are losing big money as well Pepsi $1.5 Billion...ect... Here's the kicker, Oreo said they would NOT STOP supplying cookies to Venezuela. I thought to myself WHY? Do you like losing money? Then I figured it out...."Market share", they know eventually things will get sorted out there and that is a BIG profitable market. Another reason is "Demand Destruction" you don't want people to stop eating your cookies if you can help it.

Also think about what would happen to their distribution network (Think Agents) if they stopped. It would be blown up, they would have to start all over from square one, how much would that cost? How long would it take to hire and train new workers?

I realize this is not an apples to apples comparison, however, some of the same concepts do apply.

Oreo stops tracking Venezuela sales over economic mess - Feb. 3, 2016

 

[Yagents]

1. You have some CEO's who are democratic boot lickers.
2. Aetna is trying to merge with Humana (anthem/cigna), do you really think they are going to pull out and risk the merger not being approved?
3. If private companies bail, consumers will eventually give up on the private system, and demand a public system remedy.
4. And I agree with Coog, any successful diversified income stream company will always have a loss leader product, in the hopes it turns into a blossoming market, or to provide public good will.

 

[sman]

There's no way for them to check or verify, I coach my clients to never say it's "obamacare" or "on exchange" and to just say "It's a Humana plan with the POS network". The solution really is that simple. Outside of that, I have to call in, confirm they participate in the network, and directly ask why they won't accept my client with a plan using that network when they are contractually obligated to do so. The usually just take the client at that point. If they don't I just insist they have to or they'll have their contracting with the carrier terminated for-cause. (Doesn't matter if it's true, all that matters is they get off their high horse and service the patients they're supposed to.)

That's exactly what I'm telling my clients now. Just tell them it's off exchange.

 

[AllenChicago]

Thanks for replying HouCoogster and YAgents. Well then, from what you're saying, the health insurers who are willing to lose millions of dollars every month, for years in a row, have goals in mind. They're not blindly ignorant to reality, or getting under-the-table money fed to them by the government.

In that case, continuing to pay commissions shouldn't bother these health insurers at all. Our meager pay is nothing, compared to their financial losses. And the people who suddenly need coverage so they can get that expensive operation, or other treatment, will call HealthCare.gov, or sign up at a WBE.

Removing agents/brokers from the picture will filter out a great many healthy consumers whom become legally eligible for coverage.

 

[tonyisme]

In VZ they can barely get surgar or chicken. The local currency out of control.

 

[Ann H]

I thought Yagents and Houcoogster had excellent answers. Also, the carriers do not want to tick off the government for fear that the carrier might lose other government programs. The Medicare business is profitable, as is the Federal Employee benefit plans, state and municipal plans, etc. Hey, even many Medicaid plans are administered by the carriers.

 

[AllenChicago]

February 8, 2016

1.) Only 28% of the 2016 Open Enrollment population were the much-needed younger/healthy crowd.

2.) The program that used our (taxpayers) money to offset health insurers losses, will not be present this year, or in 2017.

3.) Insurers have even larger medical related financial losses coming this year than they had in 2015. Which brings us to...

"According to the schedule put out by HHS, insurers who wish to participate in Obamacare will have to submit their initial rates in the late spring. After back and forth with HHS over the summer, they'll start to become finalized in the fall.

That means for months leading up to the election, voters are going to be hearing more and more about staggering rate increases coming in 2017. And this year, open enrollment – when individuals shopping for insurance can start to go online and see the premiums on new plans -- begins on Nov. 1, or just one week before the election. This means that for the months, weeks, and days leading up to the election, the Democratic presidential nominee and all of the party's Congressional candidates are going to have to contend with news of sky-rocking rates coming from Obamacare as insurers struggle to make the business profitable."

Excerpted From: November Surprise: Obamacare Rate Hikes to Hit Just Before Election - Guy Benson

 

[kgmom219]

February 8, 2016

1.) Only 28% of the 2016 Open Enrollment population were the much-needed younger/healthy crowd.

2.) The program that used our (taxpayers) money to offset health insurers losses, will not be present this year, or in 2017.

3.) Insurers have even larger medical related financial losses coming this year than they had in 2015. Which brings us to...

"According to the schedule put out by HHS, insurers who wish to participate in Obamacare will have to submit their initial rates in the late spring. After back and forth with HHS over the summer, they'll start to become finalized in the fall.

That means for months leading up to the election, voters are going to be hearing more and more about staggering rate increases coming in 2017. And this year, open enrollment – when individuals shopping for insurance can start to go online and see the premiums on new plans -- begins on Nov. 1, or just one week before the election. This means that for the months, weeks, and days leading up to the election, the Democratic presidential nominee and all of the party's Congressional candidates are going to have to contend with news of sky-rocking rates coming from Obamacare as insurers struggle to make the business profitable."

Excerpted From: November Surprise: Obamacare Rate Hikes to Hit Just Before Election - Guy Benson

I've got $100 that says OEP starts after Election Day....

 

[houcoogster]

I've got $100 that says OEP starts after Election Day....

Where did you get $100?

 

[sman]

Where did you get $100?

She set up a GoFundMe account.