Will Today's Low Cost Med Supp Carriers Go with New Names/open a Pool/isolate Uninsurables?

[yorkriver1]

Maybe I am trying to control the uncontrollable, but it occurs to me that the price loss leader carriers might just form a new company with super low prices all over again to attract new enrollments when their losses mount. That would leave those who couldn't qualify for a new underwritten plan stuck with ever increasing rates in a pool of others with the same problem.

Just trying to consider if some med supp T65 choices are not always about price.

 

[GreenSky]

Have you met Mutual of Omaha?

Rick

 

[Bevo]

Yes, you are trying to control the uncontrollable.

And as Rick said, Mutual FTW.

Some take the approach of avoiding writing companies like this. Others write them all day long.

 

[kstein]

I think you will see most carriers reset their rates. Or you will see them have different rate adjustments for the different blocks of business. Thinking back to 2010, I think every company had to release new products, ie plan N, and get approval on rates from state depts of Insurance. Some carriers, like Aarp in Missouri, didn't change their rates but still "reset" them and have specific rate adj for the pre and post 2010 blocks. Other carriers, like Amci, released totally different rates.

Either way your trying to see into the future so it is speculation. Write what is competitive now and worry about it at the time.

 

[JimmyUt]

This is why the forum is so valuable. We are able to see stories from agents throughout the country of companies jacking rates up like MOO does. Fortunately they have been pretty stable on Plan G here in Utah under United of Omaha, but you never know. I like companies like New Era, who although they don't pay us a whole lot, I just got notice of only a 3% rate increase. I will take that.

 

[yorkriver1]

Have you met Mutual of Omaha?

Rick

You picked up on that, sensei. Hoping their method is the what not to do, rather than the go to business model.