Stable Rates

[soupdawg1993]

I have a small Med Supp book at find that my customers would like more stable rates than watching their rates increase every year. I am in Georgia and mainly sale UOO. Can you all make any recomendations.

 

[sman]

Unfortunately there aren't many carriers with "stable" rates unless you are willing to spend much more premium. For example, BCBS didn't have a rate increase this year. However, their rates for a 65 year old Plan F are $161/$166 depending on the area. UOO has rates of $110.84/$121.28 for a female Plan F. That's a big difference to pay for the hopes of more stable rate increases.

There are very few carriers who don't have an annual rate increase (at least here in Georgia).

I did just receive some information on a carrier that recently filed their rates in Georgia who supposedly have had a history of rate increases of 10% or less. They are also less expensive than UOO. For example, a female age 65 in area 1 (metro area) is $112.26 and in area 2 it is $96.68. Additionally, they pay commissions on the Part B deductible. However, their commissions are a little less than those offered by UOO, Gerber and other similar carriers.

 

[soupdawg1993]

sman, do you mind sharing your company... send me a pm if you don't want it in public.

 

[G.Gordon]

Stable can be subjective. In MO, stable is a company that rolls out rates and is still competitive three years down road. In KS stable is a company who's rates are still competitive 5-8 years down road.