Compensation and Guidelines for 2014 Exchange: No More Commissions?

[honestagent]

Hi everyone.

I just wanted to share this article. It's 2 pages and not very long.

What is your take on future commissions and or certifications needed to jump on the exchange to sell?

If you read the entirety of this article, you will see it's not just licensed agents/and brokers who can enroll which really ticks me off!

It's kind of ambiguous, however - hence wanting your opinions.

What if any forecast do you see happening in the midst of this chaos?

Please share your thoughts on how financially prudent you think this 'opportunity' truly is.

Thanks so much in advance for your thoughts. You guys and gals are the experts.

Health exchanges: Where do brokers fit in? | BenefitsPro

 

[CHUMPS FROM OXFORD]

Keep in mind that this article is about 19 months old.

 

[honestagent]

Oh I'm so very sorry I didn't know. My friend emailed it to me. My apologies.

Do you have anything more current you can share or anything you have heard?

 

[pcbinsurance]

ANYTHING here in the Forum by Yagent, ANN, or TATOR.....will give you more information than any article out there.

 

[Ann H]

It's kind of ambiguous, however - hence wanting your opinions.

It is still ambiguous.

26 states are letting the Feds run the exchanges, 7 are partnering with the Feds and the rest are running their own exchanges. So, it depends on what state you are in.

Most of the states, and the Feds have said that licensed agents can be compensated by the insurance companies for sales inside the exchange, and similarly compensated for sales outside the exchange. The amount of compensation is still anyone's guess. The MLR rules cut comp to about half of what it was pre-PPACA, at least for IFP business. Of course, a lot of that depends on what the premiums would be, if commission is set as a percentage of premium. CCIIO said that insurers will submit benefit plans and rates in March to April, with approval being done around July. So, it's a waiting game.

As for opportunity... If you are an experienced health agent, with a sound book of business, and/or enough leads and assets and cash to take you through the transition, then you can make money in 2014. If you are a newbie, or if you are limited financially, or if you have no current book or source of leads, then it's not a good opportunity. Just my 2 cents worth.

Remember, things are changing weekly. When Humana and Ehealth get hit severely in the stock market, due to limited profit potential in the near future, it tells you that this market is volatile.

If you are thinking that this is a good market for you, then I suggest reading other hot threads on the Health Care Reform forum.

 

[honestagent]

Thank you so very much for your 2 cents; It is definitely worth more than 2 cents!!

I greatly appreciate you taking the time to write.
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: )

 

[pahealthquotes]

I believe commission structure will be released in the summer. Plans are currently being designed and submitted for approval. I've been hearing whispers of a MA commission model. I wonder when CMS will release regsitration and educational requirements.