Trying to Sell a Medicare Book

I see all of your points, but I don't think $ 10,000 is a viable offer for a book that will produce $ 14000.00 through the rest of this year. UHC does have a pretty good persistency record and there is not talk about eliminating MA for 2013. Even if you figured a low renewal rate, this book still has value. At 50% renewal, the book will produce well over 25K between now and end-of-year 2013. I agree that 2014 is a long way off in the MA world.

If these clients were as worthless as some of these posts make believe, nobody would work MA at all.



In Florida UHC is making a big push in to HMO's with risk contracts and agents are having to rewrite their book of business or lose them to other UHC agents.If i was buying your book of business I would want to wait at least until September when agents get a peek in the box to see what is being offered for 2013 in your market.

Also I would want to know how long your clients have been on UHC MA to see how much is left of the 10 year renewal cycle but most importantly I would want to know whether I could call the MA clients based on the CMS/MIPPA guidelines.Right now I know as a certified MA agent with UHC you can't call an active UHC MA member if you didn't enroll them yourself and cold calling an active AARP Med Supp client you didn't enroll is against UHC internal marketing restrictions.
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Josh,

So if they nonrenew or whatever you contact them and put them on a Med Sup or a different MA plan. That's what I do with all my current clients, couldn't you do the same with this book of business? I have no trouble keeping my book of business year after year no matter what happens to their MAPD or Med Sup there's always something else out there for them. Plus there is cross selling other products eventually not to mention referrals that may arise from these clients. Just my opinion.

" Plus there is cross selling other products eventually not to mention referrals that may arise from these clients."

If your existing MA client ask you about other products it is legal to cross sell but CMS prohibits the systematic cross selling non health related products to your MA book of business.I don't have a link to provide this minute but i know its in writing either in the UHC producer handbook or CMS Marketing guidelines.I know this would be hard to enforce but it should be taken into consideration when calculating the value of a book of business.I was very bummed out to find out this out because I have over 600 active MA members that I would love to be able to cross sell so I am certainly not going to jeopardize my contract with UHC when I have this many renewals at stake.
 
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The purpose in selling it is I need the money. I would prefer to keep the stream of income, but that's not the point. Why I need the money isn't really relevant to this discussion.

I was just looking for someone who may be interested in making an offer. I appreciate the "financial advice" on how to handle the issue but, frankly, "junkman" your response is just that... "junk".

I didn't intend to be harsh. I've been broke before - sometimes very broke. Sometimes because of what I did, sometimes because of my response to other's situation. ALL situations pass and I've never seen the time where selling a multi-year revenue stream for 1 or 2 years income was a good idea.

Actually, if previous posts are accurate and P&C blocks only sell for 2.5 times the revenue, there is no point in selling ever. Simply quit working & take whatever revenue there is & let things fall off the books.
 
Google,

If these people have been on a MA plan for a couple years or so and you go in to talk to them about Final Expense or GTL I don't think it will be a problem. I agree it shouldn't be done at the same time as writing a MA or a specific meeting about the MA or PDP.
 
The purpose in selling it is I need the money. I would prefer to keep the stream of income, but that's not the point. Why I need the money isn't really relevant to this discussion.

I was just looking for someone who may be interested in making an offer. I appreciate the "financial advice" on how to handle the issue but, frankly, "junkman" your response is just that... "junk".

UHC does allow the transfer of a book to another agent. I asked them about it and got the necessary forms.

Jacobtn, the book is all Virginia clients.

Free advice is as good as what you pay for it...but this is what I would do. Go to Prosper.com and take out an unsecured loan for whatever you need money for. Use the income stream from your book of biz to service the loan.

If your credit is good, you can get a loan for around 7% - 8%

Your mileage may vary.
 
The purpose in selling it is I need the money. I would prefer to keep the stream of income, but that's not the point. Why I need the money isn't really relevant to this discussion.

Have you looked into borrowing against the book. Similar to factoring or AR collateralizing, like in a traditional business. This should be fairly easy if you work with a smaller bank.
 
Have you looked into borrowing against the book. Similar to factoring or AR collateralizing, like in a traditional business. This should be fairly easy if you work with a smaller bank.

Banks don't factor. Sharks do. A book of business is poor collateral because the buyer doesn't have a relationship with the insured. The seller does and can roll the business to some place else.
 
send me a message. I have questions and maybe an interest
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contact me I have questions and would like to speak to you
 
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