Jorge Pascal
New Member
- 10
Greetings,
I am seeking assistance on a few questions for the knowledgeable members of this forum. Your insights would be greatly appreciated, and I kindly request your input on the following inquiries:
1. Overrides for MAPD Applications: What is the typical override amount that FMOs receive for each MAPD application an agent submits?
2. Overrides for Application Renewals: Could you please provide information on the override amount FMOs receive for the renewal of MAPD applications?
3. Utilization of Agent Overrides: How do FMOs typically utilize the overrides they receive from agents?
To provide some context, I am currently evaluating various FMOs for potential collaboration. Recently, I received an invitation to join FMO #2 from an agent with over 30 years of experience who started their agency with this particular FMO last year. As an independent agent, I have achieved considerable growth in my book of business this last year thanks to the direct support provided by UHC, including valuable resources such as events, marketing materials, and training. However, my current FMO, (FMO #1), has been largely absent from supporting my growth until I initiated the process of requesting my release.
During my discussion with FMO #2, I sought clarification regarding their unique offerings compared to other FMOs. Unfortunately, the responses I received lacked a compelling value proposition. They primarily consisted of generic statements like "Medicare is a great market to get into!" and "You get paid directly by the carrier!" without providing a comprehensive answer. In fact, some of the responses raised further questions that left me uncertain.
1. One particular response stood out, where I was asked, "Why do you concern yourself with FMO overrides if you are paid directly by the carrier?" I explained that understanding the overrides is essential as it allows me to gauge the support I can expect from an FMO and remided that I have control over where the override goes since I can pick any FMO that I like.
2. Another response from FMO #2 was, "We typically allocate all our overrides to the agents who generate the highest production." While this logic holds some validity, I expressed concern that agents with smaller books of business might end up subsidizing those with larger ones, without having any influence over the override distribution.
Consequently, I have made it a condition to join FMO #2 only if I am granted an immediate release within two weeks. Additionally, I am also considering requesting that 30% of the override I generate for FMO #2 be reinvested in events I organize for my book of business. These conditions are crucial to ensure transparency and clarity during our negotiation process.
I appreciate your valuable insights and suggestions on these matters. Thank you for taking the time to read my post, and I eagerly await your responses.
Best regards,
Jorge
I am seeking assistance on a few questions for the knowledgeable members of this forum. Your insights would be greatly appreciated, and I kindly request your input on the following inquiries:
1. Overrides for MAPD Applications: What is the typical override amount that FMOs receive for each MAPD application an agent submits?
2. Overrides for Application Renewals: Could you please provide information on the override amount FMOs receive for the renewal of MAPD applications?
3. Utilization of Agent Overrides: How do FMOs typically utilize the overrides they receive from agents?
To provide some context, I am currently evaluating various FMOs for potential collaboration. Recently, I received an invitation to join FMO #2 from an agent with over 30 years of experience who started their agency with this particular FMO last year. As an independent agent, I have achieved considerable growth in my book of business this last year thanks to the direct support provided by UHC, including valuable resources such as events, marketing materials, and training. However, my current FMO, (FMO #1), has been largely absent from supporting my growth until I initiated the process of requesting my release.
During my discussion with FMO #2, I sought clarification regarding their unique offerings compared to other FMOs. Unfortunately, the responses I received lacked a compelling value proposition. They primarily consisted of generic statements like "Medicare is a great market to get into!" and "You get paid directly by the carrier!" without providing a comprehensive answer. In fact, some of the responses raised further questions that left me uncertain.
1. One particular response stood out, where I was asked, "Why do you concern yourself with FMO overrides if you are paid directly by the carrier?" I explained that understanding the overrides is essential as it allows me to gauge the support I can expect from an FMO and remided that I have control over where the override goes since I can pick any FMO that I like.
2. Another response from FMO #2 was, "We typically allocate all our overrides to the agents who generate the highest production." While this logic holds some validity, I expressed concern that agents with smaller books of business might end up subsidizing those with larger ones, without having any influence over the override distribution.
Consequently, I have made it a condition to join FMO #2 only if I am granted an immediate release within two weeks. Additionally, I am also considering requesting that 30% of the override I generate for FMO #2 be reinvested in events I organize for my book of business. These conditions are crucial to ensure transparency and clarity during our negotiation process.
I appreciate your valuable insights and suggestions on these matters. Thank you for taking the time to read my post, and I eagerly await your responses.
Best regards,
Jorge
