UHC to Extend MA Renewal Commissions

[MrMack]

I was notified today that UHC is the first MA company that has decided to extend renewals from 6 years to 10 years. They said any policies that were put on the books after MIPPA was passed will get 10 years of renewal payments. I don't know if the policies will last that long or will be competitive but it seems like they want to keep as much business on the books as possible. It will be interesting to see if other companies follow their lead.

 

[djanema1]

Is this for United health care or Universal Health care?

The acronym is confusing

 

[Norwayguy]

I was notified today that UHC is the first MA company that has decided to extend renewals from 6 years to 10 years. They said any policies that were put on the books after MIPPA was passed will get 10 years of renewal payments. I don't know if the policies will last that long or will be competitive but it seems like they want to keep as much business on the books as possible. It will be interesting to see if other companies follow their lead.

I don't sell MA plans..But I thought CMS limited commissions to 6 years...But what are the chances a plan would remain unchanged for 10 years.

 

[MrMack]

Is this for United health care or Universal Health care?

The acronym is confusing

United Health Care

 

[DS4]

I was notified today that UHC is the first MA company that has decided to extend renewals from 6 years to 10 years.

Might as well be 30 years. MA's will be dead ducks within the next 6 years.

 

[AttillaTheOne]

Hi Mr. Mack,
How were you notified? Saw nothing on the newsletter the other day.

Are you on the upper level of Grand Poobahs there at UHC getting inside info?

As some of the posts stated, what MA Plans are going to survive 10 years, nevermind clients who pay ZERO PREMIUM go looking for a cheaper plan! ?
Thanks!!!!

 

[Josh]

As some of the posts stated, what MA Plans are going to survive 10 years, nevermind clients who pay ZERO PREMIUM go looking for a cheaper plan! ?
Thanks!!!!

They might very well survive 10 years, but even when things are good the average persistency on an MA plan is somewhere around 26 months.

 

[stormtracker]

Persist-ency is a quotient of the policy's life. Im-persist-ency is a quotent (usually of inverse order) of the CMS/carrier payout to the agent...

 

[MrMack]

My ICA Supervisor got back from a National Meeting. She showed us a memo from the meeting. Also she found out if all recertifications are completed in August then the agent will receive a $50 bonus. I just passed on what I heard.

 

[medx]

Good to know, thanks.