Is It Easier to Get Appointed with Health Carriers Through a General Agent

simcore · 02-14-2009, 09:41 PM

Hello Everyone,

I have only had my license for a few months. I have recently heard that it is necessary to have good credit to sell health and life insurance. I was wondering if it is easier for someone with bad credit to get appointed if you are applying through a general agent and not as an independent broker? Or is there really no difference at all? How much emphasis is placed on credit?

TRK3031962 · 02-15-2009, 08:37 AM

Welcome to the forum, nice to see you on here!

It does seem as though more and more companies are scrutinizing your credit a bit closer these days. It's still not that bad though. As for going through a GA, there are many times you get a better contract if you do. It is also important to some that they get advances and not all companies advance if you go direct.
With that said, just to let you know, I am an MGA with HCO. You can give me a call sometime if you're interested in knowing a little more about this.

simcore · 02-15-2009, 05:10 PM

Thank you so much for your response TRK3031962. I am really new, and embarrassed to say, but I don't know what MGA or HCO stands for. Thanks again.

TRK3031962 · 02-16-2009, 11:36 PM

Originally Posted by simcore

Thank you so much for your response TRK3031962. I am really new, and embarrassed to say, but I don't know what MGA or HCO stands for. Thanks again.

Sorry about that...MGA = Managing General Agent
HCO = Health Choice One.

Vanbret · 02-18-2009, 07:15 PM

That's a good question; just off the top of my head, I wouldn't think it would be any easier or harder to get onboard with a company, regardless of if you go through an agency or not....

Probably the best thing to do, would be to contact one of the companies (go through the prompts to get to "contracting") and ask them. That way you get an answer straight from the source!

Good Luck!

simcore · 02-20-2009, 07:49 PM

Originally Posted by Vanbret

Probably the best thing to do, would be to contact one of the companies (go through the prompts to get to "contracting") and ask them. That way you get an answer straight from the source!

Good Luck!

Thanks for the advice. I did that with Golden Rule, and they told me that there is no credit score criterion to meet.

I have already been approved by Assurant.

hlink20 · 03-16-2009, 09:50 AM

Originally Posted by simcore

Hello Everyone,

I have only had my license for a few months. I have recently heard that it is necessary to have good credit to sell health and life insurance. I was wondering if it is easier for someone with bad credit to get appointed if you are applying through a general agent and not as an independent broker? Or is there really no difference at all? How much emphasis is placed on credit?

Credit is an important issue. This is mainly due to a carrier’s concerns of potential fraud, especially with those carriers that advance commissions. If people are desperate they can find very creative ways of writing fraudulent business. This being the case, carriers sometimes view individuals with bad credit as a risk. Now, that being said, sometimes people just have a run of bad luck and they are starting over. In these situations, a GA can sometimes “vouch”, so to speak, for a broker. However, if they do this they are putting themselves at risk to do this. You will have to present your case well. If you are having this issue... Speak to a few GA’s and see what they can do for you.. I suggest working with a larger firm that has a strong “buying” power with the carriers you are looking for..

StrategyMan · 03-18-2009, 12:24 PM

I believe it is different for each carrier, however, I have found lately that with cutbacks it is probably easier to be sponsored by a GA than to get licensed directly as many carriers have a smaller support staff and are fairly picky about who they license.