Let's agree that mini-meds should not be sold as a substitute for a major med.
Let's not debate whether they should even be sold at all... i.e. 'nothing' is better than a mini.
With that out of the way, what carriers have good (if you can use that word) plans? Who is out there that you would sell IF you sold these items? Who if anyone has good (decent) value for the money?
I know UA. Lots of ex-reps on this board Are their plans any good? Will company pay the claims? I know of NAA, Mega, NASE... are these plans worth what they cost? (I know Mega has issues with claim adjudication.)
You opinions on minis are valuable to me. I'm far less interested in whether you think this is a 'right' approach, etc. I believe minis are better than nothing... if affordable. That's not the issue here... as YMMV.
Thanks,
Al
PS: Why do I ask this? I don't want to start a debate because I don't much care to be lambasted on this... I've made up my mind on what I'm going to do next year... and if you disagree... that's fine... keep it to yourself if you please... or start another thread on it. Here is the deal. At least one half of the people I call or meet (small businesses) can't or won't afford group (or the state risk pool... pricey in CA). They or their people are fat, sick, old, etc. and can't get major med (even IF they could afford it.)
I want some half-way decent plans that I can offer this segment of the population... with standard caveats of course.
Yes, they will go BK on a big ticket item (total hip or knee from an accident) but I'd like to offer them something that will keep them out of BK on the small things... a broken finger or nose, sew up a knife laceration after slicing a bagel (stats show lots of ER visits for this!), two weeks of a semi-expensive antibiotic, maybe a full physical and blood panel... some basic medical care.)
I think it is a good service to offer these.... and I plan to do it... no matter how much criticism I receive here... so please, please, please... save it for another time. Thank you.
Al, you may want to take a look at optimedhealth.com . I have heard positive things about this company, but have not ever sold min med plans from any company. It appears that their products are for groups only and not individuals, but I am not certain of that.
Also, Al, there is a company called "Route3 Life Health Disability, Inc." Their website is at minimeds.com. I do not have any knowledge about them, but it may be worthwhile to check them inasmuch they do have individual plans.
My biggest problem is most are lightly regulated "association" plans which is scary a lot of these outfits are run by shady people, and I am not sure your E&O covers plans not approved for sale by your state.
I know a lot of agents who have been fined for selling plans that had some form of violation - the agent didn't know any better, don't think for a second you are off the hook when the $#@!@ hits the fan.
UA is a real company. People can debate them all day, but they are licensed to conduct business in the states they operate - would your rather sell this or "Bob's USA Association Group Hospital Plan" ???
I am of the opinion the risk is in association plans.
Contact your state DOI if not sure, if they can not find ANYTHING about them - RUN AWAY.
Al. I can understand TXINSURANCE's trepidation about limited association plans, but there is a company called Aegis Adminstrative Services out of Chicago that appears to be quite legitimate. Their mini meds are underwritten by an insurance company and they do show their physical address. I do not have a clue where Route 3 is located. My second choice would be OptiMed if I were to market mini meds. Another thing about Aegis (website:aegisadmin.com) is they publish the premiums on their website. Also, for what it is worth, I believe they are members of NAHU.
You say that you are looking for a reputable company so you can write a crappy plan. Are you basically saying that it's okay to file a BK because a "real" company wrote a terrible insurance plan?
How well will you sleep if you write a plan, fully disclose everything, and still your client winds up $150,000 short on a hospital stay? It would bother me to sell something I wouldn't sell to my mother.
Before you make a final decision, ask yourself if you are really helping people or simply looking for a quick buck.
I wonder how many agents on this board actually sell this stuff.
Rick
------------------------------------ ILIAA
Training, Community, Support, and Success Independent Life Insurance Agents Assn rick@iliaa.org
Before you make a final decision, ask yourself if you are really helping people or simply looking for a quick buck.
I said earlier that this is not a debate I want this thread to have. If you want to argue the merits of a client having a mini vs. having nothing, fine... but please start it in another thread.
(To answer your question, I've made my decision on this. I believe I am helping people. You disagree. Fine. You will not dissuade me... so please don't try.... and especially not in this thread.)
Just FYI Assurant has a mini med out in about 1/2 dozen states with more coming 1/1/08. I forgot the name - but if you sell Assurant you might want to look into it, at least it is a reputable company.
Not taking any sides here, but what you do for somebody that has no coverage and no money for major medical, but could afford a mini med program?
Do you just pass on them, or do you give them something that's better than nothing, if that's their choice?
Everybody says they would never sell mini meds, but what do you do for the customer in that case? If you just pass on them, are you really doing them justice?
I brought this up, because my Doctor just asked me that question last week.
Not taking any sides here, but what you do for somebody that has no coverage and no money for major medical, but could afford a mini med program?
Do you just pass on them, or do you give them something that's better than nothing, if that's their choice?
Everybody says they would never sell mini meds, but what do you do for the customer in that case? If you just pass on them, are you really doing them justice?
I brought this up, because my Doctor just asked me that question last week.
Until I see something to convince me otherwise, these plans seem to do little more than provide someone wiht a false sense of security.
Currently, I simply pass. Show me something worthwhile, I might change my mind.
Now if there was a $10K deductible major medical at a good price that could be coupled with a mini-med, that might be something to sell.
What do you do for the $30,000 income folks with kids looking for coverage?
I'm finding more and more people who can't afford a $500.00 monthly plan, but would love some kind of coverage.
If you pass on them, exactly what do you say to them?
Put 'em in an HSA plan for about $215 a month. Why pass, if they can qualify find something they can afford. If they can't afford and HSA plan, can they afford a huge hospital bill??
Back on topic for a sec, I don't think there are many of these mini-med plans available in CA, Al. Also, I doubt any E&O carrier will cover it -esp if you have it through one of the Blues.
Put 'em in an HSA plan for about $215 a month. Why pass, if they can qualify find something they can afford. If they can't afford and HSA plan, can they afford a huge hospital bill??
I agree... the catch is "if they qualify." We all know there are a lot of folks who are old, fat, chronic, etc. and who won't pass UW.
I doubt any E&O carrier will cover it
As for E&O, I looked at my policy and it didn't mention anything about mini-meds. I got my E&O through Colonial... who sells a new mini-med but not in CA yet... perhaps next year. Anyway, it's a risk I would take even if E&O would not cover it.
I don't think there are many of these mini-med plans available in CA
I can sell UA in CA as well as OptiMed, AIG's Value Benefit, and a mini by GTL.
Until we get GI affordable state-pool coverage for those who can't qualify for tier-1 coverage, I don't know what to do except offer a mini. I contend it is better than nothing, so long as it is affordable and won't put the client in a financial bind.
I have a client right now who has been turned down by everyone and can't afford the MRMIP Kaiser plan for $497 a month (age 56) prem. He said "Al, can you get me SOMETHING that will help?" Rick and others may choose to walk away if they wish, but I'm not walking away from that if I can find something suitable.
HSA's are hard enough for the well educated to wrap their brains around.
How would somebody making $30,000 pay $215.00 a month, and fund the HSA? Wouldn't a mini med, or discount plan be better than nothing?
What if their budget for health care is only $100.00 a month, and they are in front of you at your office, what do you say to them?
I'm not talking about a major claim, I'm talking about a broken arm or leg, stitches, or prescription help.
It's easy to tell us on the board what you would do or not do, I'm just looking for how you explain it to a potential client.
"Bill, you are not required to fund the HSA account. You may if you choose to now or at a later date if your family's financial situation changes. While you will be paying for your medical expenses initially under the deductible, by putting you in an HSA plan, you immediately have a "deep discount" plan (NFRs) as well as a catastophic plan in case of any large medical bills. This way we can try to meet your health insurance budget with comprehensive health insurance for your family, while at the same time providing you with the peace of mind of knowing that you won't have to go bankrupt if a large hospital bill comes along."
How much more would a person save for minor stuff by having a mini-med vs. a high deductible HSA? There still is a PPO discount and if hospitalized, they have a much better chance of not losing their home.
I agree... the catch is "if they qualify." We all know there are a lot of folks who are old, fat, chronic, etc. and who won't pass UW.
You are right, not everyone can get major medical coverage. In those cases there certainly is some justification for an alternative given the current IFP market.
Originally Posted by al3
As for E&O, I looked at my policy and it didn't mention anything about mini-meds. I got my E&O through Colonial... who sells a new mini-med but not in CA yet... perhaps next year. Anyway, it's a risk I would take even if E&O would not cover it.
It's a personal choice, I prefer E&O coverage for anything I sell just in case. All it takes is one po'd client with a good lawyer.
Originally Posted by al3
I can sell UA in CA as well as OptiMed, AIG's Value Benefit, and a mini by GTL.
Can you PM me links to those agent sites, I'd be interested to see what they are all about.
Originally Posted by al3
Until we get GI affordable state-pool coverage for those who can't qualify for tier-1 coverage, I don't know what to do except offer a mini. I contend it is better than nothing, so long as it is affordable and won't put the client in a financial bind.
Don't be afraid of T-4 cases, they can be placed with most clients. If you hate ratings so with they, if you approach it properly, they won't be thrilled but will usually take the coverage. I usually go through the UW decision with them (BC is best for this) and go over what changes they can make to apply for rate reconsideration.[/quote]
Originally Posted by al3
I have a client right now who has been turned down by everyone and can't afford the MRMIP Kaiser plan for $497 a month (age 56) prem. He said "Al, can you get me SOMETHING that will help?" Rick and others may choose to walk away if they wish, but I'm not walking away from that if I can find something suitable.
Al
Again, in a situation where a client cannot obtain coverage due to decline, there is a justification for alternative products.
How much more would a person save for minor stuff by having a mini-med vs. a high deductible HSA? There still is a PPO discount and if hospitalized, they have a much better chance of not losing their home.
Rick
Exactly my point, Rick. BTW, my quote to the client is copyrighted and I get $.25 anytime someone uses it
PS I got my lights up so it is officially the holiday season!
Let's talk mini-med for a minute
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