Cigna Commissions

[TxOnline]

Per Cigna meeting today...in Texas:
6% 1st year commission
6% renewals...paid on current premium...not on original (lower) premium

Keep your old 2013 policy till 12/31/14 with NO price increases.
Agent is paid on old (2013) commission schedule.
I think it's 12% 1st-year comm right now....and much lower on renewals.

Buy a Cigna ind/fam policy now & get a 15-month price guarantee.
And, Agent gets 12% for next 12 months.

Cigna will pay commissions AS they receive premium payments.
If client buys a new ACA-compliant policy in October (to be effective 1/1/14)...AND does an EFT payment plan WITH their ACA application, Cigna will pay agent comm in November, 2013 (for the 2014 policy).

Govt subsidies will be paid to Cigna in advance.
If client buys in Oct, govt pays Cigna their monthly subsidy in Oct.

Cigna is advancing commissions (in some cases).
Advances are paid the next week (after submission AND pmt of premiums).


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Cigna will be ON-and-OFF exchange in about 6 states.
I can post the states tomorrow if anyone is interested.
Don't have my notes in front of me right now.

Cigna will ONLY offer covg in CERTAIN counties (near major metro areas) in 2014.

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Email your FINAL cert (the one with the green bar at top) to your local Cigna Sales Rep.
There is NO form needed (for Cigna).
Just the cert.

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Govt won't release Cigna to give us rates (nor plan benefit literature) until October.
Cigna DID show us slides of plan benefits.
But, the print was too tiny (for these old eyes) to read.
And, they didn't leave the slides up long enough to study, anyway.

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Cigna got access to MarketPlace Quote Engine last week.
Didn't work.
Rates were all wrong.

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[somarco]

Cigna doesn't collect the premium until approved. Absent underwriting (as in 2014) that mean almost instant approval.

You apply for an Obamacare plan on Oct 1, approved on Oct 2, your premium is drafted and commission is paid in November.

I wonder how folks will feel about paying their Jan 2014 in Oct 2013?

Cigna will ONLY offer covg in CERTAIN counties (near major metro areas) in 2014.

TX might be different, or maybe that is only true in exchange states. In GA they will be in all counties and use their national POS network. They opted out of the exchange in GA.

 

[TonyC]

Dayum...that's lower than Humana at 8%. Although i don't know how you humana is planing on paying.

 

[houcoogster]

I like this!......

"If client buys a new ACA-compliant policy in October (to be effective 1/1/14)...AND does an EFT payment plan WITH their ACA application, Cigna will pay agent comm in November, 2013 (for the 2014 policy)."

Tater should really like this! He won't have to resort to drinking Milwaukee's Best for 4 months...lol

 

[guardiansatx]

Do you have a local contact? Wondering if they will have plans in Bexar and surrounding counties?

 

[somarco]

Tony, Humana has different schedules for each state. GA is 6% FYC

 

[FLM2]

For me, Cigna's commission schedule is fine since there is no drop off in renewal commissions.

I'd rather get 6% for let's say, an average 3 years, than a sliding scale like Humana's-if you keep someone on a plan for a number of years there is significant upside.

The days of collecting a big advance check for a 1st year policy are gone, long gone and that's probably a good thing as it makes for far fewer opportunists in the business doing whatever possible to get an application and collect their advance.

The agents who win in this structure are those who build for the long term, just like the Medicare market.

 

[taterpeeler]

Do you have a local contact? Wondering if they will have plans in Bexar and surrounding counties?

nope... not selling anything is san Antonio, period

only in dfw, Austin and Houston

outside those areas, no cigna plan

 

[STIBROKER]

nope... not selling anything is san Antonio, period

only in dfw, Austin and Houston

outside those areas, no cigna plan

they are not making quoting all comany's individually easy...with humana in certain county's and cigana doing the same we are really going to need a accurate quote engine to do this for our leads all over texas.....

 

[somarco]

Scott, I am sure eHealth and healthcare.gov will be accurate . . . .