To churn or not to churn?

Oct 9, 2007

  1. jman1237
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    jman1237 Expert

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    Isn't it churning when you replace your business from last year with a new product? Yes, but what if it is clearly a better fit for the customer due to changes in the medicare advantage plan and the fact that there are better options. You guys are putting Humana at number 4 for best in clients interests. I've alway told my customers I work for them and am independent however certain companies and GA's may not feel that way. Sure I would make a new commission but it is still much better for the client and more than likely will be replaced by another agent if I don't do it.
    Agents are real aggressive sometimes and when I find a "crap" plan I exploit every weakness it has on the same token if it is a good benefit for the consumer I leave it alone and never misrepresent my product.
    I have been told I would be let go if I did such a thing or worse. How do you work on behalf of the medicare member and get them on the best plan if you jeopordize your license on one hand and screw your income on the other and the client too.
    Does this question make sense or do i need to be more specific. I think it is a disservice
    to members of medicare advantage plans to leave them on one particular plan when another would suit their needs much better, after all they can only change once or twice a year and $5000 out of pocket would kill some of my clients. But they also knew they could no longer afford 1800/year premium for their medsupp. I am sick of the drug companies and the insurance companies and the FMO's and the insurance dept. Nobody knows their head from their ass as to how to help people but they know where the money is.
     
    Last edited: Oct 9, 2007
  2. James
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    James Guru

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    Churning

    Keep good records, if there is a good reason I really can't see any thing wrong.
     
    James, Oct 9, 2007
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  3. Superchief
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    Superchief Guru

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    Churn baby churn!

    Commission inferno!

    Churn baby churn!

    Churn this mutha down y'all!
     
  4. Cenla Agent
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    Cenla Agent Guru

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    I agree. The definition posted relates to cash value life insurance and situations where evidently the replacement isn't in the client's best interest.

    Changing plans is much more common in the health market. The MA plans change from year to year, and there's an AEP and OEP every year for a reason. Unless you're acting against the client's best interest, there shouldn't be a problem.
     
  5. Mr. Bill
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    Mr. Bill Guru

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    Flip it over - with the MA plans, aren't the insurance companies getting about $15k per year for each participant? Is that dollar amount going down in the 2nd year, as the commission would be to the agent? So who's really getting screwed? Seems like only the agent.
     
    Mr. Bill, Oct 10, 2007
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