All of the reform threads aside are there elements that are GOOD for agents and GOOD for business? This could be a lot worse for agents maybe we should be quiet and take what is on the table?
Items that COULD be good for agents...
1. GUARANTEED ISSUE W/ MANDATE
This has never been attempted before and would GREATLY expand the market place either way you slice or dice it the market will grow faster than ever imaginable. It is hard to compare NY / NJ / ME GI to a national GI w/ mandate offset, as it has never been attempted.
2. NO GOVERNMENT PLAN OR MEDICARE EXPANSION
This bill is literally almost all 100% private insurance
3. GOVERNMENT SUBSIDIES TO BUY PRIVATE PLANS
All of the sudden big brother is going to help you sell more policies by picking up a portion of the tab.
4. EXCHANGE STATE RAN, NOT FEDERAL (Senate Bill)
There will be significant variation state by state and these website(s) could be CLUNKY , CONFUSING, and clients might need assistance (Imagine that!)
5. AGENTS EXPLICITLY NOT ELIMINATED
Bill specifically states preservation of agents roll
6. NO PRE EX WAITING PERIODS
Buy today, use tomorrow. Hey if the commission is the same... so what!
7. LOWER COMMISSIONS? MAYBE OFFSET BY HIGHER PREMIUMS?
Half the commissions and double the premium is a wash. Who knows.
8. SUBSIDIES NOT AT LOWER % OF POVERTY LEVEL
The family of four making $88,000 is no longer subsidized it is VERY low level of % of poverty level on last senate bill.
9. CHILDREN GUARANTEED ISSUE IMMEDIATE
Is this really a bad thing? If rates are sellable and policy is commissionable - everyone wins.
10. THINS THE HEARD
Lower commissions means VOLUME game. Small time agents go and sell something else. Lead pricing drops like a lead balloon. No one is ran away for farting in the last 5 years as a pre existing condition. Pregnancy is no longer a bad word.
Now the reverse thread could read "Is this bill BAD for agents?".
Every point above has a NEGATIVE counter position.
What will commissions be?
Will the subsidized portion be commissionable?
Will people even WANT or NEED an agent in a GI scenerio?
Will the mandate run most carriers out of business?
Will the CLR be set so there is no meat left on the bone (set at 80% on indvidual side)?
Will the mandate be ruled unconstitutional?
Will the whole bill get repealed?
MORE UNKNOWN than KNOWN but is this ALL NEGATIVE AND BAD? Is our current system SUSTAINABLE as a business model?
Hey I think the bill is bloated and being crammed at a VERY BAD time (we are broke and need jobs), but let's look objectively is it ALL BAD and GAME OVER? That I am not sold on as parts COULD (stress could...) be VERY lucrative for business if there is still meat left on the bone.
My opinion; it'll be a volume business. Agents willing to work hard will have a great career. Those "5 leads a day" agents used to working 2 hours a day will be looking for work.
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Hey I think the bill is bloated and being crammed at a VERY BAD time (we are broke and need jobs), but let's look objectively is it ALL BAD and GAME OVER? That I am not sold on as parts COULD (stress could...) be VERY lucrative for business if there is still meat left on the bone.
Oh, I have been clear for years that change is coming but it is a step up from what we have in my state now and I am getting in when it comes.
Your mileage may and does vary.
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Any current GI state CAN NOT lose with this bill. That we can likely all agree.
The agents cannot lose because it is hard to go lower than zero. The states can lose though because the capacity for the health care insurance system to made worse by government is infinite even though we are already on the bottom in my state.
I am truly concerned that the whole thing could tank nationwide, which fits with the clivens-piven theory as discussed. If so, next stop is single payer.
The agents cannot lose because it is hard to go lower than zero. The states can lose though because the capacity for the health care insurance system to made worse by government is infinite even though we are already on the bottom in my state.
I am truly concerned that the whole thing could tank nationwide, which fits with the clivens-piven theory as discussed. If so, next stop is single payer.
The States can definitely lose because a large part of the new people to the system will be Medicaid and the States (except Nebraska) have to pick up a portion of that.
I wouldn't want to have a job at one of the state risk pools right now. Since every plan will be GI I assume the pools will shut down over time.
It would have been better to fund state pools and make those GI. Make child only policies GI.
The part of GI that bothers me is the low fine and no pre ex on breaks in coverage. Even MA and NY tried no pre ex on gaps in coverage. Both revoked it over time.
The mandate won't offset no pre ex waits. Ever. It also is just not right with all the subsidies available.
I said ages ago we will end up with GI and no mandate.
Nothing illegal about GI. No one is arguing about GI.
Can you imagine GI with no pre ex waiting periods for gaps in coverage (stupid flaw if this bill) AND mandate?
You think GI is a failure in ME , NY, NJ imagine with no mandate and no wait on gaps in coverage.
So they come back and say mandate is not constitutional will they repeal GI too? The reason everyone caved in on GI was this dream of a mandate offset. Pipe dream.
It passes, the Dems and Obama can declare victory, then the courts strike it down as unconstitutional. Dead. Everyone gets to high-five each other and nothing happens.
There is a way around this. "Force" the states to mandate the coverage by offering incentives. The issue is Congress cannot mandate health insurance, but that states can.
No, this bill is not good for agents in anyway. You will work more for less and that isnt good. Sure ull be able to get clients easier but you will need 3-4 to make what you now do with one. There is no silver lining here and there is no lemonade from lemons. This is just socialism, it tastes bitter and it sucks.
As an example...here in Ohio...average premium is about $160 per month, so about $350 per case.
I see average premiums of $250 coming with compensation at about $150-$200 per case. So if I can write twice as many, I'll be fine. Over time...maybe better!
In other higher-premium states...I assume the same thing.
It passes, the Dems and Obama can declare victory, then the courts strike it down as unconstitutional. Dead. Everyone gets to high-five each other and nothing happens.
Unlikely.
One portion of the bill (individual mandate) gets noted as unconstitutional, you are saying it would void the ENTIRE bill? I don't think so.
Also the supreme court is likely to give a wishy washy opinion anyhow I can see it already... Push it to the states...
If you are not used to volume sales, you better get used to it soon. Agents doing volume will prosper in the years to come. You will need to adept or you will be doomed.
------------------------------------ D. Dayton Sayer IV
Dayton Sayer Insurance Agency, Inc.
"The most valuable commodity I know of is information"
Another potential positive of the bill is retention. When
People can choose between group and individual with subsidies you should have a longer retention.
Much longer. In addition rate increases will be on a short leash.
I said ages ago we will end up with GI and no mandate.
Nothing illegal about GI. No one is arguing about GI.
Can you imagine GI with no pre ex waiting periods for gaps in coverage (stupid flaw if this bill) AND mandate?
You think GI is a failure in ME , NY, NJ imagine with no mandate and no wait on gaps in coverage.
So they come back and say mandate is not constitutional will they repeal GI too? The reason everyone caved in on GI was this dream of a mandate offset. Pipe dream.
Even Maine isn't this crazy, We are GI but Pre-X are not covered for 1 year if coverage isn't continuous.
I can see the future. Husband has heart attack and is wheeled into ER while wife speaks with Intake person and admits that he does not have coverage. No problem madam just fill out this form for family coverage to start today pay the premium and this will be covered under the plan.
Maybe I should be looking for work with a Hospital like some agents sell pre-need plans through funeral homes
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Is This Bill GOOD for Agents?
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