Do you sell Med Sups, MAPD, or both?

[AcemanX007]

Good Morning,

I’m curious what other agents are selling as a whole and what their reasons are. Personally I sell advantage because of the relatively low premiums and additional benefits.

 

[LostDollar]

I am not an agent. Here are two threads I have found very useful in seeing how experienced agents think about these products:

https://insurance-forums.com/community/threads/mapd-my-worst-decision.85103/

https://insurance-forums.com/commun...apd-certified-vs-not-getting-certified.89030/

 

[Devin01]

Medicare agents generally fall into two buckets, those that focus there energy on Med Supp and others that focus on MAPD clients.

Most MAPD producers (not all) are not comfortable selling Medicare Supplements or are not in front of the right clients. My agency generally focuses on Medicare Supplements, and I spend the time to educate my clients on the pros and cons of supps and Advantage plans. When I explain how Medicare works and explain the deductibles of original Medicare and explain potential out of pockets costs and networks of MAPD most of our clients choose the Supplements opting for more comprehensive coverage. Like anything else, it is all how you explain options to seniors. If you tell them the premium is 0 and they get extra benefits and it covers everything that Medicare does not ... who would not pick that option.

With MAPD you have to worry about plan changes and plans ending. Many agents have lost their book with MA Plans ending . In the beginning most agents start off with Medicare Advantage because it is an easier sell as you are not collecting payment from them.Once you help somebody with a supplement there is very little work required each year to maintain that client.

With Supplements you have to explain a little more on how original Medicare works so upfront you are probably spending more time with clients. Our agency has been in the Medicare space for over 20 years so we have a nice referral pattern and when clients turn 70 we can lower their premium with another carrier and reset our commissions.

The other determining factor is where you live and how the MAPD plans are. I know Florida vs NJ were we sell there are tremendous difference in the terms of the benefits of MAPD.

When new agents are starting it is most important to build your product knowledge, have a mentor and have a marketing plan to consistently stay in front of potential new clients.

 

[LostDollar]

With Supplements you have to explain a little more on how original Medicare works so upfront you are probably spending more time with clients. Our agency has been in the Medicare space for over 20 years so we have a nice referral pattern and when clients turn 70 we can lower their premium with another carrier and reset our commissions.

When you look at the age group between 65-70, do you have any sense of what percentage of them become locked into their original purchase and unable to switch later because of health conditions?
(Or is that not the right question, and there are still some money saving options after 70, even with some health conditions?)

 

[jlallgier]

I sell anything health and life related to seniors. MA, Med Supp, PDP, Cancer, Final Expense, Dental, LTC, Home Health Care, ETC.

 

[WCMason]

Medicare agents generally fall into two buckets, those that focus there energy on Med Supp and others that focus on MAPD clients.

I suspect there is a third bucket, larger than these two, that more agents fall into: those who sell both, though perhaps not at a 50/50 split.

Those who sell by phone are going to be primarily Medigap for the obvious compliance reasons. But many of us who meet the people we assist will find many interested in both. I know I try to play it straight down the middle, describing each and letting them choose which suits them. I have found more interest in MA plans since I began describing them as what they are more familiar with, as most employer and all U65 individual plans are PPO or HMO with doctor networks and copays. It still turns about about 2 to 1 Medigap due to the higher income clients I have, but even those clients aren’t always turned off by provider networks and copays if it keeps premium costs down.

I can’t imagine specializing on one of these two. Both pay well, initially and on renewals, the certification requirements are not that bad once a year on MA plans, and I’ve never had anyone push back on the SOA requirement, which is easy now with the electronic versions out there by some FMO. But as one who writes both, I’m happy to see other agents pick one and leave the other.

 

[Devin01]

Most of our clients can change, but not all. And not all want to change. At 70 many become resistance to change if they are not sure on how Med Supps work. And I mention age 70 because in general rate increases with most carriers start to rise around 68,69,70. I am not sure of the %'s of our clients who cant qualify, but more can then can't. It is important to have a portfolio of companies to work with if a client has a particular condition. So if you can not place them with Aetna because they look back 3 years maybe you go with Cigna who only looks back 2 years. Also come companies are better with diabetes and hypertension meds then others. We recently changed a guy from Aetna/Genwoth Plan J to Bankers Fidelity Plan G he was 6 years removed from bladder cancer. We saved him close to 80 a month by moving to a Plan G with another company.

In our CRM we place notes so we know who we can help. If they could not qualify because of lets say cancer and we have to wait 2 years(some are 5) to be cancer free and treatment free, then we call them after that time time period to revisit. We also send out newsletters and we try and stay in constant contact via our email service.

We have several thousand clients and after the Annual enrollment is over I generally go back to my book and call our existing clients to see if we can assist them in lowering their premiums, also a good opportunity to cross sell. We also do a lot of replacements during AEP and get a lot of referrals from clients we have recently helped with lowering their premiums in our local market.

 

[somarco]

All my clients are Medigap only. Very few even ask about Advantage. If they do ask and prefer the Advantage I refer them to an agent I know and trust.

 

[axeman462]

I sell both. can't imagine only selling one or the other. Although, I only work the FL market; a little different than the rest of the country

 

[Chazm]

I’m right there with X man. I’d say roughly 70/30 or 65/35 In favor of Medicare advantage. Not because I like them better but Med supp premiums are double here.