Competition

[bluemarlin08]

Recently, after quoting several prospects and following up they email me and tell me they have decided to go in a different direction. After a return emai or phone call I discover they went with a contract that is popular in Tennessee , Tennessee Rural Health with Farm Bureau and adm by BC. Policy is not guaranteed renewable and can be cancelled by TRH with 30 day written notice for any reason. My question, would you bring this policy up during discussions as an option they might be tempted to go with and explain the policy or not?

 

[VolAgent]

Considering how popular it is here in TN, I think you have an obligation to mention how it works. Best I can tell, it is not insurance, it is a health plan. That usually wakes them up, once they realize it can be cancelled at any time.

 

[somarco]

Appears to be a self funded MEWA. Haven't seen one of those in years outside of Taft-Hartley plans.

About the Company

 

[STIBROKER]

who is the insurance company.....

 

[VolAgent]

There isn't one. BC/BS of TN administers the plan, and perhaps they put a stop-loss in place. Most people think it is BC/BS.

 

[bluemarlin08]

I get quite a few folks that are displeased with how the plan pays and constant rate increases. Very popular plan in Tennessee with much lower rates, especially if looking for maternity. The more sophisticated buyers understand the risk of buying a policy that is not GR, but others don't, oh well.

 

[STIBROKER]

sounds like a scam....hahahahaha....I would talk to BCBS before I sold it....

There isn't one. BC/BS of TN administers the plan, and perhaps they put a stop-loss in place. Most people think it is BC/BS.

 

[VolAgent]

I get quite a few folks that are displeased with how the plan pays and constant rate increases. Very popular plan in Tennessee with much lower rates, especially if looking for maternity. The more sophisticated buyers understand the risk of buying a policy that is not GR, but others don't, oh well.

With the way Farm Bureau markets the plan, you really can't blame the consumer for getting confused or liking the plan. They do everything they can to get people to believe it is insurance and it is BC/BS. The fact that BC/BS hasn't done anything to reign in this practice suggests it is a cash cow for them.

I'm also surprised they haven't gotten in trouble with the state, I remember billboards in Knoxville and Memphis promoting the plan. Even I thought it was an insurance policy from looking at the billboard.