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What's the Scoop Health Guys?
- Thread starter insurance1822
- Start date
- 1,432
I never addressed the 20% part.
I'm pretty sure that I have been in the top 20% for the last several years.
In retrospect that was a bad thing. I was only in the top 10 or 20 percent because I wasn't diversified as an agent. 99% of my book was individual health.
I think I have it down to 80% now.
That's progress, but I have a ways to go. My goal is to no longer generate more than half of my income from any one income stream.
I thought I was diversified because I was making about half of my money in lead gen. But most of the leads I sold were for individual health. I was about as diversified as the guy selling skis in one store and ski poles in another.
What I've taken away from this experience is something that I should have learned a long time ago. I think there is an old expression about putting too all of something in one basket. I'm vegan, so I get the expression mixed up. Is it about cheese, eggs, hamburgers...?
"All lessons in life are repeated until learned." Was something I remember hearing on a Denis Waitley motivational cassette decades ago.
Remembering is not learning, but I think I get it now.
I'm grateful that I have other options.
On February 1, I will go back to my roots. I started with Met Life in '85. I haven't sold life insurance in any quantity since the 90s. But I think I remember enough to get started.
Things have changed, but people haven't. I'll be rusty for a while, but I think a lot of what I learned back then is still relevant.
Unfortunately my demographics have changed. Most of my current clients qualify for APTC. In 2013 few of my clients had incomes that low. So I'll start with FE and mortgage insurance. Then start contacting my former clients to discuss DI and bigger life policies.
In my opinion, what I did wrong was not that I guessed wrong about how the ACA and the HIX would impact my business. The data just wasn't there to make an informed decision. I had to guess.
What I did wrong was putting all my green smoothie in one glass or all my ginormous salad on one plate. (Sorry. Much like steak there is no satisfying vegan equivalent.)
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I believe you stated somewhere that you started in 1985, about 10 years after I did. A bit surprised you haven't had to shift and reinvent yourself before now.
Until about 10 years ago most of my time was on the group side, specifically large group, and that industry changed considerably from 1975 until 2000 or so. Mostly carriers moving in and out of the market, especially in the self funded arena.
My "job" today resembles nothing like it did in 75 which is probably a good thing overall. I have remade myself so many times I can't even count.
You could describe my tenure in the business as more of a gypsy than anything.
Four years ago I finally pulled the trigger on Medicare. Wanted to start earlier but never made the time to wear two hats.
Like other things in life, wish I had moved toward Mcare earlier but nothing is accomplished by wishing I had done things differently.
I am a master at winning arguments long after they are over and making outstanding decisions on Monday morning. Also very good at spotting stock trends after they peaked.
When Obamacare became law I knew what it would do to this industry. Not only for agents, but more importantly for the public. I was around when ERISA became law and led to the ultimate demise of almost all defined benefit pension plans.
Obamacare was destined to do the same thing except in a much shorter time frame.
For me, leaving the health insurance business was like Indiana Jones trying to outrun the boulder. Enough health commissions remained in place long enough for me to write enough Medicare business to replace what is now completely gone.
Call it more luck than timing.
https://www.youtube.com/watch?v=db5rRtOExbA
Until about 10 years ago most of my time was on the group side, specifically large group, and that industry changed considerably from 1975 until 2000 or so. Mostly carriers moving in and out of the market, especially in the self funded arena.
My "job" today resembles nothing like it did in 75 which is probably a good thing overall. I have remade myself so many times I can't even count.
You could describe my tenure in the business as more of a gypsy than anything.
Four years ago I finally pulled the trigger on Medicare. Wanted to start earlier but never made the time to wear two hats.
Like other things in life, wish I had moved toward Mcare earlier but nothing is accomplished by wishing I had done things differently.
I am a master at winning arguments long after they are over and making outstanding decisions on Monday morning. Also very good at spotting stock trends after they peaked.
When Obamacare became law I knew what it would do to this industry. Not only for agents, but more importantly for the public. I was around when ERISA became law and led to the ultimate demise of almost all defined benefit pension plans.
Obamacare was destined to do the same thing except in a much shorter time frame.
For me, leaving the health insurance business was like Indiana Jones trying to outrun the boulder. Enough health commissions remained in place long enough for me to write enough Medicare business to replace what is now completely gone.
Call it more luck than timing.
https://www.youtube.com/watch?v=db5rRtOExbA
- 1,432
It has been a meandering journey for me as well. I started with Met life (life plus P&C), had a carpet cleaning business for a few years, worked for Mutual of Omaha (health and gap), worked as a word processor in Manhattan, worked for Bankers Life for two weeks and quit (what a bunch of used car salesmen),went back to Manhattan, started my agency with the intent of selling P&C, but wound up selling health then started my lead gen business.
I currently have both the agency and the lead gen business, but my lead gen business is on life support. My agency is still profitable, but we are selling too much health insurance as a percentage.
Other than the fact that I'm older now, this transition will probably be one of the easier ones. Between my son and I we have almost 2,000 clients to cross sell. Plus I have access to capital.
But I am older now. That is not an insignificant factor. I didn't want to go through another transition. I hoped that I would be closer to retirement when the next big change came down the pike.
I have a business plan worked up that I've already started to execute. I don't want to do the work. Starting over won't be fun this time. I no longer have big business dreams, just big obligations. But I'll do it.
Such is life. Grow or die.
I'm still good.
Look...when ACA came out, a lot of these guys didn't want to have a thing to do with it. I jumped in, and I made it. Of course, something like this will go through transitions. Past 2 years, it has been going down on commissions. But that was PREDICTABLE. They carriers stated it, ALONG WITH, we can change at anytime.
The ruling for commissions was made back in - I think (correct me if I'm wrong) around 2014. So, we all knew it was coming. Today, the rooster came home.
We always kept our Medicare up, and if a Medicare client walked in,...we politely say, a senior needs help first. Younger generations at even 50, understand that. On top of it, we still hit the P&C side of things, but stay away from auto policies (they are the junk).
Is business perfect? No. No business is. There are ups and downs. You ask us this question because perhaps you feel "better" than health insurance agents?"
Well, I can tell you - in dealing with BOTH sides of the business...I'd 1,0000 times do business with a Health Agent than a P&C. P&C work on lower commissions always, and it is a HIGH turn over business - a different animal. PLUS, you have to pay back your commissions. We don't have to. We get paid on what we get paid on. Less headaches.
I only sell P&C to people I know well, who will stick with their policies. And, I bet you, I have less of a headache than you.
Look...when ACA came out, a lot of these guys didn't want to have a thing to do with it. I jumped in, and I made it. Of course, something like this will go through transitions. Past 2 years, it has been going down on commissions. But that was PREDICTABLE. They carriers stated it, ALONG WITH, we can change at anytime.
The ruling for commissions was made back in - I think (correct me if I'm wrong) around 2014. So, we all knew it was coming. Today, the rooster came home.
We always kept our Medicare up, and if a Medicare client walked in,...we politely say, a senior needs help first. Younger generations at even 50, understand that. On top of it, we still hit the P&C side of things, but stay away from auto policies (they are the junk).
Is business perfect? No. No business is. There are ups and downs. You ask us this question because perhaps you feel "better" than health insurance agents?"
Well, I can tell you - in dealing with BOTH sides of the business...I'd 1,0000 times do business with a Health Agent than a P&C. P&C work on lower commissions always, and it is a HIGH turn over business - a different animal. PLUS, you have to pay back your commissions. We don't have to. We get paid on what we get paid on. Less headaches.
I only sell P&C to people I know well, who will stick with their policies. And, I bet you, I have less of a headache than you.
- 5,056
This biz is done. There aint no sugar coating it. The avg aca client is a internet driven lead for all the big producers, they avg 7 mo persistency. With all the changes, carriers dropping comp, ease of AOR replacement via CIC - my time is worth more than what I can earn with this IFP biz. Cant even focus off-x with the major carriers $0 on that too.
So Group/Life/Medicare/Timeshare/Biz Ops/Alarm Sales here we come! How da hell do we stomach these crooked ass Politicians, stealing your money (did you vote for increased taxes?) to pay for some failure in life to get a $0.82 plan with a $500 deductible w nationwide ppo, I'm sorry but Obama you got me F##### up on that one.
I remember the heyday of IFP health sales, when the first online app's come out CGI & GR 30-40% commissions - and look what we got now.. zlich nada.....Like the 2nd Coming, we knew it was coming - still hurts when someone steps on your throat, good times! Nah, your doc dont want your business this year. Thats right he said he dont want any dirty obama clients dirtying his porch step.
So Group/Life/Medicare/Timeshare/Biz Ops/Alarm Sales here we come! How da hell do we stomach these crooked ass Politicians, stealing your money (did you vote for increased taxes?) to pay for some failure in life to get a $0.82 plan with a $500 deductible w nationwide ppo, I'm sorry but Obama you got me F##### up on that one.
I remember the heyday of IFP health sales, when the first online app's come out CGI & GR 30-40% commissions - and look what we got now.. zlich nada.....Like the 2nd Coming, we knew it was coming - still hurts when someone steps on your throat, good times! Nah, your doc dont want your business this year. Thats right he said he dont want any dirty obama clients dirtying his porch step.
I have a different business model than many on here for IFP (all referral) so have higher persistency than most (over 90%) and plenty of remaining clients (over 250) but am walking away from this business segment at the conclusion of this OEP because, in my states, there is no future and the present is pretty much done.
When you combine the greatly reduced commissions (or completely eliminated) with the frustration of the service work (and inability of the interface between the Marketplace and the carrier to communicate on any level) there is absolutely no justification for continuing-I made that final decision about a week ago and feel like two sacks of concrete have fallen off my shoulders.
As for the future, I had prepared for this by starting on a Medicare book of business about 4 years ago and is growing but am also looking at an opportunity outside of the insurance industry (mortgage loan origination), there is just no guaranty that anything related to health insurance has the 10 year safe horizon I need to create financial independence.
When you combine the greatly reduced commissions (or completely eliminated) with the frustration of the service work (and inability of the interface between the Marketplace and the carrier to communicate on any level) there is absolutely no justification for continuing-I made that final decision about a week ago and feel like two sacks of concrete have fallen off my shoulders.
As for the future, I had prepared for this by starting on a Medicare book of business about 4 years ago and is growing but am also looking at an opportunity outside of the insurance industry (mortgage loan origination), there is just no guaranty that anything related to health insurance has the 10 year safe horizon I need to create financial independence.
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