Insurance Forum

[John_B]

Hey everyone, new to this forum. Live in Louisiana. Currently working as a manager at a company selling supplemental benefits (have been for the last two years). Wanting to get involved in selling health insurance as well to my clients. I just started an LLC and opened a business checking account. I want to be able to have the agents I'm managing at my current supplemental company be put underneath me to sell the health insurance as well. I'm not sure what that would be called exactly and how to go about filling out the paperwork because of the LLC. I would appreciate any advice on what name to fill out on the paperwork and how to go about putting agents underneath me, or any advice whatsoever.

I've tried contacting several different companies and asking them but they have been no help and either not returned my calls or didn't know. They just want me to submit my contract they sent me.

Sorry if these are stupid questions. I searched the forum but couldn't find anything that matches my situation.

Thanks!

[Crabcake Johnny]

It's because the general agent contract level has largely been wiped out due to health care reform.

A year ago you'd be able to pick up GA contracts at 25% with really no proof of production if you were a good talker.

That's gone.

Now you need to prove past production and very few health carriers are offering overrides. Two carrier I'll cite:

Assurant used to give out 25% GA contracts and you'd hire sub-agents at 20%. Now Assurant pays GAs 14% but products can get 14% street = zero override.

Golden Rule used to offer Key Broker contracts if you could prove that you wrote 100 health cases in the past 12 months. Their new system is you must have written 1,000 Golden Rule cases in the past 12 months to quality.

Other carriers such as Cigna, Humana, almost every Blue Cross, etc...either do not give general agent contracts or will not offer new ones.

[pbbaseball]

talking them into an assignment of commissions is the only way i know of to go. in NC, goldenrule will do it, but humana, cigna, and aetna require commissions be assigned to a company, and won't let you assign to another agent. goldenrule will let you assign to another agent... of course with the commission cuts a few months ago, it's tough to make a lot and have your people still be happy if you're taking a small cut

[arnguy]

John_B, I hate to inform you but it is bad timing to get into the health insurance market now with the reform ongoing.

[John_B]

Thanks for the advice everyone. I'm thinking of going through Health Choice One. It seems easier then going through all this crap with multiple companies on my own.

Arnguy, You're right it's a bad time but I'm just planning on offering it to current clients as a way to make extra money. It won't be my sole source of income, just an addition to the supplemental benefits I'm also selling. I live in Louisiana and Louisiana did seek MLR waiver, which I know is just temporary for a year. But hopefully things will change with a new president next year.

[magagent]

If this guy is treating selling major med like a "bonus" instead of their primary income, I say go for it.

Originally Posted by John_B

Thanks for the advice everyone. I'm thinking of going through Health Choice One. It seems easier then going through all this crap with multiple companies on my own.

Arnguy, You're right it's a bad time but I'm just planning on offering it to current clients as a way to make extra money. It won't be my sole source of income, just an addition to the supplemental benefits I'm also selling. I live in Louisiana and Louisiana did seek MLR waiver, which I know is just temporary for a year. But hopefully things will change with a new president next year.