Total Meltdown at Insurance Companies

[somarco]

Mutual Benefit crashed and Fortis bought them. Also bought Time, John Alden and one or two other carriers. Fortis then formed Assurant and spun it off.

I don't see Time/John Alden/Assurant coming back as a major med carrier in 2014. My read is they are going to focus on ancillary lines and forget the major med market, including small group (other than self funded but that may be short lived too).

 

[AllenChicago]

I don't see Time/John Alden/Assurant coming back as a major med carrier in 2014. My read is they are going to focus on ancillary lines and forget the major med market, including small group (other than self funded but that may be short lived too).

It seems that a lot of companies are planning on doing this. About a year ago Humana's Midwest VP said that they wanted to write as much major medical as possible before shutting it down at the end of 2013. They, along with a host of other companies are really pushing their Critical Illness, Dental and Accident plans as stand-alone products. Problem is that none of these relatively new entrants to the ancillary market put much thought into their plans. No innovative/creative features...low commissions..etc..
-ac

 

[somarco]

Humana bought Kanahwa and wanted to turn their PRD plans in to individual products. Didn't work out so well.

 

[Yagents]

Interesting insight from Benepath:

Obamacare and Health Insurance Agents » Benepath

 

[somarco]

I think Benepath has the right idea and it appears they are trying to educate agents on opportunity in the post 2014 Alibama world.