Medico's AM Best ratings scare the bejeebers out of me.
I don't know much about Medico, A M Best (or any other rating source) really mean nothing when it comes to dental coverage.
If the carrier, or line of business goes away, there is no real loss. Policyholders can pick up a replacement without losing a step in most cases.
Dental is short tail business and usually highly profitable if properly managed.
why are guys saying they are a ripoff?
You can say that about a lot of ancillary lines, including HIP, critical illness, AD&D and others. At the same time there is a certain level of demand for these items by a mostly uninformed public.
I was at a Humana lunch last week and they were pushing their supplemental lines, including a new "beefed up" supplemental accident benefit. We were told policyholders that apply direct select the SAB (supplemental accident benefit) over 50% of the time but when they go through an agent the "agent filter" kicks in and the buy rate is only 12%.
They wanted to know why the benefit was not more popular.
The unanimous response was that, in essence, it is a ripoff.