Obamacare and Commissions-Here It Is!

[Crabcake Johnny]

Maybe you need to have a friend in the family who's a doctor and they can explain to you the paperwork and fun involved right now with getting paid by the carriers. I wish I could get her to post here.

Here's a good read by a doctor that pretty much mirrors what my sister-in-law would post:

10 Things Your Insurance Company Won't Tell You About Insurance Payments - Yahoo! Voices - voices.yahoo.com

 

[RayNY]

On one hand, paying commission on the total premium makes sense, is the way it's been done historically, and alleviates any administrative/calculation issues involved with changing subsidies.

On the other hand, do you really think they want the government's premium subsidy being used to pay broker commissions? Even if it's indirect via the carrier middleman?

If word gets out that taxpayer dollars are lining broker's pockets, there's going to be a problem.

 

[taterpeeler]

Maybe you need to have a friend in the family who's a doctor and they can explain to you the paperwork and fun involved right now with getting paid by the carriers. I wish I could get her to post here.

Here's a good read by a doctor that pretty much mirrors what my sister-in-law would post:

10 Things Your Insurance Company Won't Tell You About Insurance Payments - Yahoo! Voices - voices.yahoo.com

tough chit.... let them deal with it.... if you still had an insurance liscense you would understand all the paperwork we agent are going to be subjected to with the new regs... have a good day

 

[houcoogster]

On one hand, paying commission on the total premium makes sense, is the way it's been done historically, and alleviates any administrative/calculation issues involved with changing subsidies.

On the other hand, do you really think they want the government's premium subsidy being used to pay broker commissions? Even if it's indirect via the carrier middleman?

If word gets out that taxpayer dollars are lining broker's pockets, there's going to be a problem.

Ok so there's not a problem with taxpayers dollars lining the pockets of Doctors, Hospitals, Equipment Co, Big Pharma, Defense Contractors, Highway Construction Co. and grocery stores ect...?

 

[Yagents]

Where was your outcry with billions being spent to create exchanges that already existed, and billions for navigators for which we already filled the role, and billions to gov't officials to administer this wonderful law?

 

[joshpeck247]

The unsubsidized premium is the WHOLE premium. As in there is a subsidized premium which is what the client pays and the Unsubsidized premium which is what the company gets paid and what the agent gets paid. I am not from Alabama. Actually from Missouri, but we do sell in many states. I don't expect you to believe what I have to say as I probably wouldn't, but the information I am giving you is the information that has been given to me from SEVERAL different sources. I do believe that it can be like MAPD's and some companies will go that route. I think eventually it will all be that way, but for now make hay while the sun shines.
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I think some of you have misunderstood. The unsubsidized premium is the total premium without govt assistance. Example is on a silver plan the cost of a family of 4 before govt help with be about $11547 per year or $962.25 per month before any help. With help that will be a lot lower. If agents get paid it will be on the 962.25. The average policy in Missouri is around 250 per month and with Obamacare that will be 2.5 times that on average. If you got paid 10% on a sale right now then the insurance companies would have to cut your commission to 4% for you to break even, but you will sell the double the people so even with commissions getting cut to 4% you would double your income. Since commissions won't be cut that much if at all then there is a great chance that a good insurance agent will make a lot of money with this if they know what they are doing. If the companies go to a per head or per application model then you are looking at about 200-400 per head. I personally would rather get the % on the WHOLE premium then a set amount because if I still get 10% lets say on an average premium of 625 that's $750. Big difference.

 

[SamIam]

What about people who are getting subsidised 100%? How much would we get paid then?

 

[houcoogster]

What about people who are getting subsidised 100%? How much would we get paid then?

Hold on Josh is consulting with his "source".

 

[Yagents]

100% subsidies = medicaid and no compensation

For states that roll out medicaid, less than 100% subsidies are available for those at 134% FPL and above (to 400%)

For states that do NOT roll out medicaid, less than 100% subsidies are available for those at 101% FPL and above (to 400%)

 

[joshpeck247]

Are you guys really not understanding. UNSUBSIDIZED. DOESN'T MATTER WHAT THE CLIENT PAYS! Doesn't matter what the govt subsidy is. Whether they get a subsidy or not you get paid the exact same on the premium. Maybe some of you don't understand what unsubsidized and subsidized means. You will need to get that figured out before you try to sell this stuff and also there CANT be Major Medicals off of the exchange. The new law makes that illegal. You can't put a MAJOR MEDICAL on the market and deem it Major Medical unless it goes through the exchange or an exchange type plan. Unless they change the law many people who can't afford the new Exchange, but still want a major medical won't have that as an option. They will only have the option of a beefed up Indemnity plan which is going to upset a lot of people. Let me consult with my sources for more information