Selling DVH As a Loss Leader?

[goillini52]

To clarify my question, do you think the fact that medicare doesn't cover dental create opportunities for someone to solely focus on selling stand alone dental plans? Is there a market here?

I was thinking of an approach something like this? "How interested would you be in knowing how you could save 60% to 80% off your dental costs?"

I got 80 doors to knock on tomorrow, I'll throw this out there and see if I get any takers!

When you knock on the door you should ask them if they have their own teeth. If they don't, there's not much need for the dental insurance.

 

[Midlevel]

My thought on Dental, Vision, Hearing is they may save around $600/year if they max it out. The one I sell costs around $32/month and has a $100 deductible and then max paid is $1000/year. The only people I have on this plan are people who worked for the State and have always had a dental plan and think they need to continue with one. I tell most people I don't think it is worth it. They appreciate my honesty.

 

[bpenn9]

Utah. I haven't ran into too many people who have plan F's. I read somewhere (AHIP I think) Utah only has like $30, 000 active plan F recipients statewide! I work lower to middle income though.

Where in UT? And what do you mean $30,000 active Plan Fs?

 

[kstein]

Does anyone here use the Anthem Extras policy? That product sells itself and has great persistency. I dont know if it is offered in Utah but I would highly suggest it.

 

[thomasm]

Where in UT? And what do you mean $30,000 active Plan Fs?

Salt Lake County. I mean the total plan F's in force at the time the report was written. (2012) This report was posted before somewhere on the forum. If you download the the full report it breaks it down by state and plan.

https://www.ahip.org/Trends-Medigap-Coverage-Enroll2012/

 

[ballfan]

I'm looking for a loss leader type product that will help me get in more doors! My results cold knocking for FE has been pretty dismal lately! The Med Supp market is tiny in my area, and you can't call for MA. What about approaching seniors about supplementing their medicare with dental, vision, and hearing insurance? Since medicare doesn't cover this, (although some MA plans have riders) maybe I can get a better response rate approaching people about this? After all, once I'm at the kitchen table, i can do a needs analysis to uncover what their other insurance needs are. I just need to get to the kitchen table first! I have Medico's DVH plus in my bag, but I've never used it. I thinking of going out this Saturday and knock on some doors to see if a DVH approach will get me more appointments. What do ya'll think a good approach would be? I just need to start building my book of business, and I'll take the path of least resistance if I have too, to get there!

I don't guess what they may, or may not need. After all insurance is a crap shoot. If they never need it, they will feel it was a waste. I also listen to some of the vets in here who caution on selling the extra's.

I've begun putting a folder together with brochures based on wether they are MA or MA and their estimated financial means. I touch on ltc or life dental and let their needs or desires reveal themselves. People that have always had dental ask for it, people who have cared for their parents ask for ltc.

I'm a bad salesmen though .

 

[Daytona_Guy]

My results cold knocking for FE has been pretty dismal lately! The Med Supp market is tiny in my area, and you can't call for MA.

I don't disagree with your premise that having a loss leader is a good way to get in the person's door, I would just like to enlighten you a little bit as to how I solved this very same scenario.

I live in Florida, Central Florida to be exact, and it is overwhelmingly Medicare Advantage here. Add to that, Medicare Supplements cost at least twice as much here as they do in other southern states. This created a scenario where, if I wanted to build the kind of renewals Med Supps offer, I had to go outside of my state.

I started calling into Michigan, where the commissions are compressed into just three years, but as a result are much higher commissions than other states. From there, I added Texas, too, where commissions are just the opposite - paid for longer than average (7 years).

Since then, I've expanded into 32 states due to the referrals given from folks in the states that I wanted to be in originally.

It has been very rewarding and seniors are now, more than ever, receptive to doing business over the phone, especially when you're calling someone with an existing Med Supp and offering to shop the market independently and save them money. Word then travels fast as to your services.

The bottom line is that I wouldn't limit yourself just because you live in a high Medicare Advantage area. The beauty of selling Medicare Supplements by phone is that you can choose the state, then the specific area of that state, where Medicare Supplements dominate the demographic.


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[jvancleve]

Can someone justify to me why Medicare Supplement clients need a separate cancer plan? I'm being serious by asking because I run into it all the time with someone having an F Plan and then a big old cancer, heart attack plan for $80/month. I understand the hotel stays, travel, etc. but do not feel it justifies spend $1000/year on a plan like this. I know some prescriptions can add up if run through PDP.

I sell the heck out of GTL Hospital Indemnity plan along with lump sum cancer when I put someone on a MAPD but have trouble pushing it on my Med Sup clients. In fact, I usually tell them not to waste their money since they have the F Plan Med Sup.

There is no universal answer. Just seek to understand the facts and circumstances unique to the client, and advise and/or solve a problem accordingly. For a client with a Med Supp plan F, the additional financial exposures with an internal cancer diagnosis generally fall in the prescription drug (those that fall under Part D) and the non-medical cost (transport/caregiving/additional family expenses/loss of income, etc.). Maybe your client had a friend or relative that spent thousands under Part D, or in caregiving expenses. People do buy cancer insurance often because they have witnessed financial problems caused in one or more relationships close to them....and yes, this can happen even with a Plan F.

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I agree w plan F it isn't necessary. What state is the original poster in?

?? Not sure your point. Most insurance isn't necessary. The Plan F isn't necessary either. An agent cannot determine value to a client without understanding their particular situation and advise accordingly.

 

[Robert Bache]

I do not love any of the Dental options either but I do sell some of the Medico DVH Plan. You may even market it as, "I can show you how to get dental/Vision/Hearing coverage for the same price your paying now". Then, see if you can save them $30-$60 on their Supplement Plan and use the savings for the DVH Plan. You get the comp on the DVH (Not great but something), you get the supp Comp, and more importantly you added a Client and helped them. Then go to FE from there and continue helping them.

 

[Justin Bilyj]

A lossleader for people buying it or for you selling it? Or both?

I like Humana HI215 for dental...