United HealthCare Warns of Commission Cuts

[insurehound]

Got a letter from United today saying that all agents who sell Association Groups and Individual with United should be prepared for commission cuts beginning 2011. They specifically referenced the new health care bill and loss ratio as the reason for this.

 

[moonlightandmargaritas]

This news is a week old, and there's no less than two or three threads on the forum about this already.

What cave you been livin' in?

 

[Dave020]

In related news, California is going to attempt a legislative "jump the shark" on healthcare reform this year. SB 900 (D-Alquist) and AB 1602 (D-Perez) are in process (with like 18 other bills) which would GI all health insurance, eliminate underwriting, uncap the plans and set up a California exchange by January 2011--along with MLR. Arnold wants the exchanges in place before his term is up (January 2011).

The guy setting up the California exchange is the same guy who ran the Mass exchange (Connector). Mass Connector allows brokerage from group with a $10 flat fee per employee and ZERO commission on IFP plans.

California Moving Forward with Reform
- - - - - - - - - - - - - - - - - -
From SB 900 (Alquist -- which has passed committee 7-2):

(h) Consistent with federal procedures established under
subdivision (e) of Section 1312 of the Act, establish procedures to
allow agents or brokers to do both of the following:
(1) Enroll individuals in any qualified health plan in the
individual or small group market as soon as the plan is offered
through the Exchange.
(2) Assist individuals in applying for premium tax credits and
cost-sharing reductions for health plans sold through the Exchange.

From AB 1602 (Perez -- which has also passed committee)

The Secretary
is also required to establish procedures under which states
may allow agents or brokers to enroll individuals in qualified
health plans and assist them in applying for subsidies. Such
procedures may include the establishment of rate schedules for
broker commissions paid by health plans offered through the
exchange.

The exchanges also will
award grants to "navigators" who will educate the public about
qualified health plans, distribute information on enrollment
and subsidies, facilitate enrollment, and provide referrals on
grievances. Navigators may include trade and professional
organizations, farming and commercial fishing organizations,
community and consumer-focused nonprofit groups, chambers of
commerce, unions, or licensed insurance agents or brokers

 

[wstcst1]

In related news, California is going to attempt a legislative "jump the shark" on healthcare reform this year. SB 900 (D-Alquist) and AB 1602 (D-Perez) are in process (with like 18 other bills) which would GI all health insurance, eliminate underwriting, uncap the plans and set up a California exchange by January 2011--along with MLR. Arnold wants the exchanges in place before his term is up (January 2011).

The guy setting up the California exchange is the same guy who ran the Mass exchange (Connector). Mass Connector allows brokerage from group with a $10 flat fee per employee and ZERO commission on IFP plans.

California Moving Forward with Reform
- - - - - - - - - - - - - - - - - -
From SB 900 (Alquist -- which has passed committee 7-2):



From AB 1602 (Perez -- which has also passed committee)

We are completely bankrupt in California but that doesn't matter. They are going to shove this on California in a rush to move it nationally as quick as possible. (forget about 2014)

 

[CHUMPS FROM OXFORD]

So no commish for individual business in California if this thing passes?

 

[Dave020]

Don't know yet, but if the same guy who runs the Mass "Connector" program sets up the CA exchange, probably no commission on IFP business.

 

[Justin Bilyj]

This guy should hang from a noose if you ask me!

 

[insurehound]

This news is a week old, and there's no less than two or three threads on the forum about this already.

What cave you been livin' in?

It's called "work" and "selling insurance". So sorry moonlightandmargaritas...I'm impressed.

 

[ntbktrader]

wir sind gefickt

 

[arnguy]

wir sind gefickt

Man kann whol sagen!