Will You Offer Health Ministry Plans in 2018?

[scagnt83]

Very few regulations.
Microscopic transparency.
Ambiguous contract language.
Not MEC.

Whats not to love?

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Most Supplemental Plans are crap. Especially accident plans. The main exception being a decent CI Plan.

If you are out there pitching them as something to fill in gaps created by the Health Ministry Plan. Then you are risking a major E&O claim.

An accident plan is not going to come close to paying for a broken leg that needs surgery. Critical illness plans won't come close to paying for most cancer treatments. And if you can afford the ones that will pay $500k for cancer... then you can afford MEC.

 

[J.R.]

Call it a sign, miracle, luck, etc., but this is great timing considering the following after logging in and seeing this thread....



There is absolutely nothing wrong with offering these products, but they should be used as a last resort. Adding accident/dvh/critical illness plans is GREAT from a sales perspective. However, if you're billed $500K, your plan medical expenses (hello balance billing) limits it to $10K and your CI policy pays out $10K, then you're basically SOL for the rest. The good news is the Agent made anywhere from 40%-120% on the 1st year advance of those policies.

I'd LOVE to hear the qualification process since I'm sure there are a few "gems" to answer.

-How often do you, your wife, children visit the doctor? What are their names?
-What is your household income?
-Do you accept Jesus into your life?
-How many times have you and/or your spouse been married? Oh you've been divorced...I see.
-How often do you attend Church?

Well, I've got a GREAT plan for you. It covers mostly everything AFTER a 12 month waiting period, excluding basic preventative stuff, which is covered from day one. But if you wanna get pregnant you gotta wait 24-36 months and the birth MUST be pre-authorized, so we can verify everybody loves Jesus.

I almost forgot, there is a nominal $495 application fee, but we can spread that out over 12 months to make things easier. We take Visa, MC or Checking/Account.

But if you buy TODAY, you can take advantage of the "Faith Payment System!" All that means is that we pay the application fee for you the 1st year, but it'll double the 2nd year unless you donate 15% of your earnings every week...The Pastor/Minister will be verifying your attendance and tax return once a year!

 

[kgmom219]

Medi-Share is a VERY intense christian organization. I work with a company called Aliera they're not nearly as preachy and strict. And they use PHCS Multi-Plan so MD Anderson is in there. What I run in to in Texas is that most providers won't take ACA plans, so this is a good alternative for people.

1. PHCS is a "rented" network that used to be used by the fringe indy carriers and Principal, Assurant, Great West and others for group. It is still utilized by TPAs. But its a network, with contracted rates. Are you stating that a CSM plan has guaranteed rates with providers and providers are required (under the terms of their PHCS contract) to see Aliera members and that Aliera guarantees payment to providers? If so, kindly attach the document. Or link to the SPD. Not the benefit summary. I want the SPD.

2. Define preachy and strict. And which Medi Share plan is VERY intense? There's a whole bunch of them.

3. "Most" providers is misleading. 54% of the providers in TX are part of the Blue Advantage network and therefore take On Exchange plans in all 243 counties.

4. Any type of sharing plan is a CHEAP alternative, its never a GOOD alternative

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Very few regulations.

If you are out there pitching them as something to fill in gaps created by the Health Ministry Plan. Then you are risking a major E&O claim.

Its not insurance, would it even be covered by E&O?



This is awesome. Here's the pre ex statement. Hope none of the kids took an antibiotic for an ear infection!

Any illness or accident for which a person has been diagnosed, received medical treatment, been examined, taken medication, or had symptoms within 24 months prior to the application date is considered a pre-existing condition. Symptoms include but are not limited to the following: abnormal discharge or bleeding; abnormal growth; break; cut or tear; discoloration; deformity; full or partial loss of use; obvious damage, illness or abnormality; impaired breathing; impaired motion; inflammation or swelling; itching; numbness; pain that interferes with normal use; unexplained or unplanned weight gain or loss exceeding 25% of the total body weight occurring within a six-month period; fainting, loss of consciousness, or seizure; abnormal results from a test administered by a medical practitioner.
For more information, see Member Guidelines.

 

[scagnt83]

Its not insurance, would it even be covered by E&O?

Good point. It most would not be covered since its not actual insurance.

Which means it is even more dangerous to sell. The client could easily go after your personal assets in that case if the company does something wrong or if you misrepresented something in the contract.


But think about this:
What if the company is just a huge Ponzi Scheme? (naysayers prove to me its not)

What would happen to the agents who sold it?

They could be at risk of criminal charges of being an accessory.

And before you scoff at that... an Annuity Agent in CA was arrested for selling a state regulated and approved annuity. The charge was theft via surrender charges. He finally beat the charges.... on appeal.... and it destroyed his business/life/family/etc. And E&O didnt pay since it was an allegedly illegal act.


If that can happen with a product that is reviewed, regulated, and approved by the state. Think what could happen with a product that has no regulation or oversight

 

[johndf]

I almost forgot, there is a nominal $495 application fee, but we can spread that out over 12 months to make things easier. We take Visa, MC or Checking/Account.

But if you buy TODAY, you can take advantage of the "Faith Payment System!" All that means is that we pay the application fee for you the 1st year, but it'll double the 2nd year unless you donate 15% of your earnings every week...The Pastor/Minister will be verifying your attendance and tax return once a year!


Plus, if you act now we'll also throw is a set of ginsu knives!

 

[Mike Siegal]

Good point. It most would not be covered since its not actual insurance.

Which means it is even more dangerous to sell. The client could easily go after your personal assets in that case if the company does something wrong or if you misrepresented something in the contract.


But think about this:
What if the company is just a huge Ponzi Scheme? (naysayers prove to me its not)

What would happen to the agents who sold it?

They could be at risk of criminal charges of being an accessory.

And before you scoff at that... an Annuity Agent in CA was arrested for selling a state regulated and approved annuity. The charge was theft via surrender charges. He finally beat the charges.... on appeal.... and it destroyed his business/life/family/etc. And E&O didnt pay since it was an allegedly illegal act.


If that can happen with a product that is reviewed, regulated, and approved by the state. Think what could happen with a product that has no regulation or oversight

Wow,...Jail time for selling "what appears to be Insurance?" (no thanks...).

 

[scagnt83]

Im not saying that you are going to get thrown in jail for it. But the risk of stuff like that is greatly enhanced when dealing with non-insurance products marketed as replacements for insurance products.


But look at it from a juror or judge's point of view:
It walks, talks, looks, acts, and sounds like a duck.
But its not a duck... and what the client really needed was a duck... now they are financially ruined because they bought a fake duck.

There arent enough disclaimers in the world to make things go your way in that situation. Especially considering that the plaintiff will be sick or injured in addition to bankrupt.

 

[Yagents]

Anyone read these guidelines and exclusions yet?
What are your top 5 pain points?

https://altruahealthshare.org/resources/guidelines/

 

[johndf]

Unfortunately there are a lot of agents, drinking the Kool-Aid on this one.

As that old saying goes: In the land of the blind, the one-eyed man is king!

 

[Ann H]

From the agent's perspective the only good thing about a CSM is that the commission % isn't bad. Everything else is lacking terribly.

From a client's perspective, the only good things are lower premium and no IRS penalty.

From the hospital's perspective everything about a CSM is laughable.

I won't sell it.