Why Are my Mutual of Omaha Medigap Rates So High?

[somarco]

What do you tell clients and prospects when they ask? Or when they ask "Why are my Mutual of Omaha Medicare supplement renewal rates so high?".

 

[goillini52]

What do you tell clients and prospects when they ask? Or when they ask "Why are my Mutual of Omaha Medicare supplement renewal rates so high?".

Tell them Mutual of Omaha's closing another block of business, so it's time to switch...if they can qualify. I don't sell MoO, but I've cut peoples premium in half after they've closed blocks of business. Problem is, many can't qualify to switch.

 

[somarco]

I understand about blocks of business and what happens when one matures vs. a new block, but how do you explain that to a client without being too wonky?

 

[sman]

I just get a little wonky with them. The carrier is no longer bringing new premium dollars in, most of those who can save many by switching do so and you're left with an aging and increasingly less healthy block which means larger and larger rate increases. That's about what I say to them.

 

[goillini52]

I understand about blocks of business and what happens when one matures vs. a new block, but how do you explain that to a client without being too wonky?

With other carriers, I tell them that the company decided they don't want to be in the Medicare Supplement business anymore(if they can qualify for something else). If they can't qualify for something else, I tell them that they experience more claims than they expected due to a lack of claims paying history. With MoO, what else can you say but the truth...then switch them if possible. I don't like Blue Cross, but I just picked them up because they're GI and cheaper than MoO's closed blocks of business.

 

[senior-advisor-indiana]

I blame it on the GI plan N, which is the main reason for UOO'S problem.

 

[goillini52]

I blame it on the GI plan N, which is the main reason for UOO'S problem.

I love replacing their Plan N with a Plan F and still saving them lots of money!

 

[GreenSky]

I love replacing their Plan N with a Plan F and still saving them lots of money!

Or you could replace the Plan N with another Plan N and save them even more money - although you're commission would suffer.

Oh, now I understand.

Rick

 

[senior-advisor-indiana]

I love replacing their Plan N with a Plan F and still saving them lots of money!

I assume you are joking...

 

[goillini52]

Or you could replace the Plan N with another Plan N and save them even more money - although you're commission would suffer.

Oh, now I understand.

Rick

I prefer Plan F and most people do. I did sell a Plan N this week because the lady couldn't afford Plan F Mr. Righteous.