The Great Big Medicare Rip-Off [Medicare Advantage]

[goillini52]

Your mother has had an MA plan since 2001?

Yes, Part C started in 2003, but it's been around for a long time under a different name. I almost NEVER ran into it until the mid 90's.

The roots of Medicare Advantage (also known as Medicare Part C) go back to the 1970s. At that time, beneficiaries could receive managed care through private insurance companies. It was not until 1997 that the program, then called “Medicare Choice,” became official with the passing of the Balanced Budget Act.

 

[jdeasy]

Yes, Part C started in 2003, but it's been around for a long time under a different name. I almost NEVER ran into it until the mid 90's.

The roots of Medicare Advantage (also known as Medicare Part C) go back to the 1970s. At that time, beneficiaries could receive managed care through private insurance companies. It was not until 1997 that the program, then called “Medicare Choice,” became official with the passing of the Balanced Budget Act.

I know the timelines. That's why I asked. The MMA of 2003 turned it into what we know today. But I would interested in what kind of MA plan there was in 2001. Certainly wasn't an MAPD.

 

[goillini52]

I know the timelines. That's why I asked. The MMA of 2003 turned it into what we know today. But I would interested in what kind of MA plan there was in 2001. Certainly wasn't an MAPD.

Before MA, it was called Medicare Choice.

 

[somarco]

passing of the Balanced Budget Act.

Balanced budget? What a novel idea.

Look at the national debt and debt to GDP ratio since 1997.

https://www.thebalancemoney.com/national-debt-by-year-compared-to-gdp-and-major-events-3306287

You can throw darts at BOTH parties for this mess.

 

[somarco]

what kind of MA plan there was in 2001. Certainly wasn't an MAPD.

Pretty sure Part D started in 2006 so MAPD probably was available then.

 

[jdeasy]

Pretty sure Part D started in 2006 so MAPD probably was available then.

That's what I was trying to say. Part D came from the MMA of 2003 and not available until 2006.

I suppose they could have embedded Rx into it like the sups did back then?

A 2001 MA plan with embedded Rx?

 

[scagnt83]

There would be more confusion than ever. People choosing plans that don’t cover their meds or doctors. Everyone would assume they need a MAPD. It would be a mess. Insurance companies still need agents.

maybe you guys weren’t here then, but not too long ago, MAPD paid $400/200 and I still made a killing. It would weed out the new agents though.

With today's technology, it would not be hard to digitally replicate the process an agent takes them through if the plans were standardized.

 

[scagnt83]

You mean the links for each plan that have existed for years on medicare's site for MA, MAPD, and PDPs?

Yeah those are great. My favorite is when someone self enrolled in a med adv then a PDP then wonder why they got a cancellation letter and want help. Or the MA only enrollees who wonder how to get coverage for Jardiance.

This is the generation who needed help programming their VCR to tape reruns of Matlock. The T65s may be more tech savvy, but 73+ still represents a huge segment of the market and eliminating their agents won't fly well.

My point is the plans will get bought either way. Agent, no agent, $100 commission, $1000 commission... they might not like it, but it will happen.

And the post was referencing the comparison of life comp vs. mapd comp. One is a necessity, other is not... thats why it pays more up front.

 

[DonP]

My point is the plans will get bought either way. Agent, no agent, $100 commission, $1000 commission... they might not like it, but it will happen.

And the post was referencing the comparison of life comp vs. mapd comp. One is a necessity, other is not... thats why it pays more up front.

That’s correct . With or without independent agents mapd will continue growing . The train left the station . If anything take away the dental , vision , food cards and you have $1000-$2000 moops across the boards . $0 premium vs $200 . 90% will pick zero .

 

[InsuranceGuy29]

Life insurance policies 120% comp first year then 10% next 10 years.

MAPD will find a way to drop that 2nd year renewal to 1% in time. This cannot be sustained giving everything away to subsidize the program. Like any subsidized govt program cuts will come as 31 Trazilliin of debt climbs.

Agents will be first to get the AXE. I give it 2 more years then GOP slashes down these subsidies

BIGLY and comp drops to pennies on renewals. Ask walmart agents for affirmation

The reality is, insurance is a very confusing field with a million laws and rules that are constantly changing. Before I was in this industry, I didn't even know what coinsurance or a deductible was. That's 95% of people in society.

Whether they want or like agents/brokers or not, people know absolutely nothing about how insurance functions, how to obtain it, where to obtain it, or what's what, and they need constant ACCURATE and QUICK advice/help with it.

Even in the nightmarish under 65 Marketplace (aka "Obamacare), they slashed many of the commissions and made some go to zero. They thought government navigators could handle it. A bazillion complaints later, agent commissions are reactivated in recent years and creeping right back up to where they used to be, as they saw most agents exit that market, as the juice wasn't worth the squeeze. Creates too much chaos.

Even when some of my clients call Healthcare.gov for even SIMPLE information, the idiots usually ALWAYS tell them the wrong information. Once these companies also saw how much money and business they lost, they panicked.

Never underestimate the power we have to ethically sway people into one company or the other. If company A treats me and my clients great and company B has similar or a few slightly less copays and treats my clients and myself like garbage....guess who I'm gonna recommend?

Whether they want to pay us or not, they know they have to. They'll just keep playing "the numbers game".....slightly raising some copays and premiums here and there as they go. In my area, in the under-65 market in 2017, only one company was paying agents, now they all are.