These Guys License Blue Cross Independent Agents In Florida

[somarco]

Consider: M51, F51 both n/t. Pinellas County (346) zip. All HSA qualified w/5 mil lt max, Rx, and first $ wellness bene...

- Aetna (3,000/6,000) $535
- Avalon (2,500/5,000) $427
- BCBSFL (6,000) $273
- GR (5,800) $422
- Humana (5,000) $400

BX used to play these games in GA as well, although not that much premium difference. It was not unusual for them to be 20% or so below market with the same or better benefits and they would write almost anyone who could fog a mirror.

Eventually their sins caught up with them now the only reason they maintain market share is because folks know the BX name and will buy direct. Very few brokers, including some that were writing hundreds of app's a year with them are doing much of anything with them any more.

There are also dozens of fringe players who have entered the market in the past with low rates who are now gone.

Coventry is the only one playing that game now but it is mostly smoke & mirrors and I believe their days are numbered.

 

[thereaper]

If they continue to use the direct sales force BCBSFL will find in the very near future that they have lost their market share. The sales people they use over the phone don't even know the products or how to explain and don't follow the application process and if you do sign up with them you can never get the same one on the phone again to answer your questions. If you're turned down no one there to advise you what to do. The GA's built BCBSFL and now BCBSFL is throwing them away with their direct sales force. You'll see it's already happening (the loss of sales). Underwriting has been atrocious (I hear) the past year with about 60% being either declined, ridered or rated. It starts at the top and the CEO should be replaced from outside the company and about 50 VP's fired.

 

[somarco]

BCBSGA considered throwing brokers under the bus last year (or year before). If a broker didn't sell 10 new apps they would be terminated.

I got a couple of warning letters, that was all.

They had something like 5,000 brokers and most sold little or nothing.

After issuing the ultimatum they got wise. Tossing brokers who were responsible for 60% of their business didn't make a lot of sense after all.

5 years ago they bragged about making offers on 96% of apps. Now they reject close to 50% "like everyone else" they said at a meeting last year.

I don't know about the other agents in the room, but if I had half my apps rejected I would find something else to do. I do work a lot of cases most agents walk away from, but I still get offers and place about 90% of app's.

Their HO reps here are knuckleheads and the field agents aren't much better. They have steadily lost market share (mostly through their own stupidity) to GR, Humana, Aetna and Coventry. Now Cigna is coming to town (but I don't expect much of a threat from them based on what they have done in other states) so the landscape is constantly changing.

 

[joeboy]

I just wanted to add my confirmation to this thread as there was some misinformation shared initially. There are no independent IFP arrangements in FL in the true technical sense. The BX MGAs are now issuing additional contracts for Master Agents to sign up more individual business and in so doing are causing a little confusion about captive vs. independent. Some of these new master agents may be trying to sign up new agents under the guise that they will be independent BX producers, but the reality is that they will all be exclusive agents for BX. Be sure to read your contract! The commish will most likely be higher than what the MGAs are offering (there's no way it could be lower!) since you probably won't be getting much in the way of training or leads.

Personally, I'm excited about offering BX IFP without having to settle for the low payout captives usually get, but I'm also entering into this arrangement without any intent on breaking the contract. I have no idea how BX could find out if I wrote a Humana plan instead, but I'm not interested in finding out the hard way. I personally know agents who are already selling BX IFPs along with other carriers and have not been caught, so it is going on, but YMMV.

I don't mean this to be a plug for BX... just a bit of clarification about the recent flurry of activity about the BX IFP independent/captive topic.

Oh, for Pete sakes.
Help me out will ya?
My understanding is if you work for them you receive 9% advanced on the first year commissions. True?
No renewals?
Otherwise, you can "refer" clients and receive 4.5 % first year?
is this accurate super genius?

 

[moonlightandmargaritas]

My understanding is if you work for them you receive 9% advanced on the first year commissions. True?

It depends on what Contracted General Agency you sell through...

 

[joeboy]

Huh?
You mean different areas of Fl?
You have to work out of an agency that is in your area right?
You couldn't write for a GA in Tampa while you live in Orlanda, etc?
If so, somebody tell me who is offering 18 - 20 points first year and I'll move some of their H.S.A's, no problem.
I don't think that is available, but hey, I don't claim to know everything.

 

[thereaper]

Huh?
You mean different areas of Fl?
You have to work out of an agency that is in your area right?
You couldn't write for a GA in Tampa while you live in Orlanda, etc?
If so, somebody tell me who is offering 18 - 20 points first year and I'll move some of their H.S.A's, no problem.
I don't think that is available, but hey, I don't claim to know everything.

They only way to get 20% is to get an MGA to give you an MAA contract and my understanding to become an MAA you have to have a store front, otherwise if you're going thru an MGA or CGA you might and I say might get as much as 15% but don't hold your breath.

Yes you could write for a GA in Tampan while living in Orlando or anywhere else in Florida, they opened that up last year.

 

[joeboy]

They only way to get 20% is to get an MGA to give you an MAA contract and my understanding to become an MAA you have to have a store front, otherwise if you're going thru an MGA or CGA you might and I say might get as much as 15% but don't hold your breath.

Yes you could write for a GA in Tampan while living in Orlando or anywhere else in Florida, they opened that up last year.

Reaper, you 100% sure of that?
Cause, I spoke with a gent up north who is a BCBSFL shill and I didn't get that from him bro.
Anybody in here got a name / phone number of a GA willing to deal? And what's with the store front mentality? Hello ... internet ... ???
We have client's all over Florida.
Store front smoar front.
Somebody throw me a bone here?

 

[Crabcake Johnny]

There are currently many FL agents writing BX at 18% full year advance and also other carriers.

 

[joeboy]

You talking grp. or Individual BCBSFL?