Those Pesky Retail Stores

[CHUMPS FROM OXFORD]

Are they a threat to us? In Pa, they're growing. Damn.

Click on this link. No don't. Why would you want to? You're getting out of the Indy health insurance business. Remember?

Insurers Open Stores To Peddle Health Plans - Kaiser Health News

 

[somarco]

Allstate did this years ago with booths in Sear's stores. How long has it been since you saw one of those?

Only a carrier can afford this kind of overhead. I don't see this as a profit center.

 

[wilkin]

Chumps, I think we are going to see more here in PA and not just from Highmark. I believe HealthAmerica and Capital Blue Cross will also open them eventually, probably in the next two years.

Problem is we will educate folks, and then they will walk into a store to complete their purchase feeling safer doing businesss with a storefront.

 

[CHUMPS FROM OXFORD]

Or worse, they'll download the application we email them and take it to their local store.

 

[YouGotMyMoney]

yea the bxfl stores, wonder how their doing at current comp levels? i dont know, cant be too good, esp if u dont count any kind of $$$ coming from bxfl.

if a client wants to go to these stores, they r not my target demo anyway. let em buy a hosp surgical plan or over priced benefit rich copay plan.

 

[Yagents]

What's it cost to open these up and manage ongoing? A cool $500,000 a year at a minimum with salaries for staff included. I'm sure that we, with little overhead, can do the same volume that walks in, without any costs to them. These shops sure will eat into their 20% MLR. Storefronts are inefficient

 

[Justin Bilyj]

I think they will be just as effective as the kiosks with insurance...not very.
This is a consultative business. People will still shop. I wouldn't just go with one phone carrier willy nilly, I will shop them out. And having a broker to do that for me and explain all the nuts and bolts is necessary in this biz.

Besides, what kind of consumer are they targeting? I can't see them making a profit off of this, people hate insurance companies to begin with.

 

[bluediamond]

The blues retails stores are a joke, have to wait about an hour most of the times then the agents are rude and don't even know their products. I have dealt with many people who visited the retail store and had very bad experience with them. AEP was a joke for them, most of their agents had a tough time spelling Medicare.

 

[pahealthquotes]

Highmark the largest insurer in Pa has many stores throughout Pa and I beleive it actually helps business. Branding is huge and Highmark has it down pat. BTW Highmark did not cut commissions like almost every other carrier in PA and is doing quite well financially. Strong company with excellent leadership at the top. Highmark recently purchased BCBS DE. Look for more good things from this carrier in the future.

 

[CHUMPS FROM OXFORD]

And I believe Highmark writes child-only plans!