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Competition makes products better, get rid of Standardized med supps. Require all companies to have at least 1 plan with prescription benefits, do away with ...
Competition makes products better, get rid of Standardized med supps. Require all companies to have at least 1 plan with prescription benefits, do away with Part C and Part D.
Standardization is good. Imagine you're a senior trying to compare plans from Company A @$150/mo, Company B @$110/mo, and Company C @$140/mo. They all designed their own plans, have various deductibles, co-pays, and things they don't cover, etc. Now... how the hell do you make a decision?
I do think the drug plans need to be standardized and the drug prices controled the same way Medicare Assignment works. That would cut down big time on this AEP confusion. All plans cover the same drugs, but can assign their own co-pays and premiums. Medicare sets the tier structure.
If they did away with standerization you would have companies like UA come in and Sell Limited benifit Med-supps to unknowing seniors and hire "Agents" with no experiance get them licensed and tell them this is the best Insurance plan out there.
You have got to be kidding me, confusing to the seniors? Lets see partc and d plans, election periods, scope of appointments etc.
Nothing is more confusing to them as it is now.
One cannot compare Part C plans to Medicare Standardized Medicare Supplement Plans.
Prior to 1990 the Medicare Standardized Medicare Supplement Plans did not exist. Insurance companies were at liberty to design anything they wanted and call it a "Medicare Supplement Plan". There was total chaos in the market place and seniors were getting ripped off.
I feel the same way about the current Part C plans. Nothing is more confusing to them than the Part C plans as you stated above. Let agents sell them the same way they do Med Supps and standardize them.
I find it interesting that before the advent of PFFS plans there were no problems with Part C plans. Agents have brought a good deal of that on themselves. Or should I say, "agents"?
Standardization is the best thing that has ever happened to Med Supps. What is really needed is standardization of the Part C plans so both seniors and AGENTS know what they do and can make and help seniors make an intelligent, well-informed decision regarding which is the best for each individual.
One would think that Medicare learned something from standardization in 1990. Oops, I forgot, we are dealing with the govt.
The drug lobby will never, ever, let something like that happen to Medicare Part D plans.
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A VERY UNINFORMED PERSON SAID " Standardization is the best thing that has ever happened to Med Supps"
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Wrong again my friend! Standardization was the best thing that ever happened for the insurance companies, Standardization was a disaster for the senior citizens and the insurance agents. Need I remind you that before standardization insurance agents were collecting 50 ro 60% first year commissions on medicare supps. Before standardization the renewals on med supps were 15%! Before standardization the insurance companies were forced to compete with each other by always having to come up with a better policy. In fact it was standardization that forced the need for seperate medicare drug plans. Before standardization there were Medicare supps out there that covered drugs. The insurance agents were having a field day making those 50 and 60% first year commisions and the insurance companies came up with a way to end it. Back in the early 90's all the state department of insurance directors got together for a big pow wow at Hilton Head Island where they hashed out their plan to standardize medicare supplements and they attached the clause where agents could only recieve level commissions. As anyone knows the heads of the state department of insurances are politically appointed positions and most of these guys are nothing short of tools for the insurance industry. Standardization was a tragic loss for the customers and the agents. Standardization was one of the worst things that ever happened to me in this career!
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For those that were around before standardization United American was a great company to sell for. You had a direct contract with the company that was 60% first year and 15% renewals forever. When standardization came in United American cut their med supp contracts to 25% across the board. All of a sudden there was no money in it for agents to sell people a new supplement. United American within a couple of years found its med supp business crashing through the floor. Thats when they started recruiting shister mister regional general agents and making new agents contract through them. Standarization killed United Americans medicare supplement business and then the slime ball district and regional general agents came in and put the final knife in.
Last edited by Yoda : 10-27-2009 at 10:07 PM.
Reason: Posts merged
Did you sell Med Supps prior to 1991 ??
Let me assure you, there was no way to compare apples to apples.
Standardization made comparison shopping for the consumer much easier. Also made my life easier as the Mega's of the world had to operate on a standardized playing field.
A VERY UNINFORMED PERSON SAID " Standardization is the best thing that has ever happened to Med Supps"
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Wrong again my friend! Standardization was the best thing that ever happened for the insurance companies, Standardization was a disaster for the senior citizens and the insurance agents. Need I remind you that before standardization insurance agents were collecting 50 ro 60% first year commissions on medicare supps. Before standardization the renewals on med supps were 15%! Before standardization the insurance companies were forced to compete with each other by always having to come up with a better policy. In fact it was standardization that forced the need for seperate medicare drug plans. Before standardization there were Medicare supps out there that covered drugs. The insurance agents were having a field day making those 50 and 60% first year commisions and the insurance companies came up with a way to end it. Back in the early 90's all the state department of insurance directors got together for a big pow wow at Hilton Head Island where they hashed out their plan to standardize medicare supplements and they attached the clause where agents could only recieve level commissions. As anyone knows the heads of the state department of insurances are politically appointed positions and most of these guys are nothing short of tools for the insurance industry. Standardization was a tragic loss for the customers and the agents. Standardization was one of the worst things that ever happened to me in this career!
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For those that were around before standardization United American was a great company to sell for. You had a direct contract with the company that was 60% first year and 15% renewals forever. When standardization came in United American cut their med supp contracts to 25% across the board. All of a sudden there was no money in it for agents to sell people a new supplement. United American within a couple of years found its med supp business crashing through the floor. Thats when they started recruiting shister mister regional general agents and making new agents contract through them. Standarization killed United Americans medicare supplement business and then the slime ball district and regional general agents came in and put the final knife in.
A JACK*** once said "A VERY UNINFORMED PERSON SAID " Standardization is the best thing that has ever happened to Med Supps"
Starting off a conversation with a belittling remark doesn't seem to work does it.
I noticed that most of your post involved commission rates and what is best, or was detrimentle, to you or an insurance company.
The seniors I talk to all day long seem to like the simplification of the plans and make explaining there coverage much easier for me to get them to understand that they won't be losing their coverage if they change to save money.
A JACK*** once said "A VERY UNINFORMED PERSON SAID " Standardization is the best thing that has ever happened to Med Supps"
Starting off a conversation with a belittling remark doesn't seem to work does it.
I noticed that most of your post involved commission rates and what is best, or was detrimentle, to you or an insurance company.
The seniors I talk to all day long seem to like the simplification of the plans and make explaining there coverage much easier for me to get them to understand that they won't be losing their coverage if they change to save money.
It sure sounds like it is all about his commission without having any compassion for his prospects.
The part he left out was that they discovered seniors who had three, four and even five of those pre-standardized plans. Agents, those who only cared about their commissions, would review a seniors plan and tell them it looked pretty good but it had gaps. Those agents would tell the senior if they also took their policy in addition to the one they had that the gaps would be covered. They were saying anything just to make a sale. Seniors were at the mercy of unscrupulous agents.
It is because of those agents, the ones who were only interested in commissions and not really helping seniors, that prompted the formation of the standardized plans as we know them today. It is easy to understand why certain agents were not happy with standardization.
I for one think it was the best thing that could have been done to protect seniors from those agents.
FRANK SAID- "It sure sounds like it is all about his commission without having any compassion for his prospects."
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You got a lot of nerve inferring that I am all about the money considering
you are the one in this forum always trying to suck newbys into contracting underneath you. You don't see me using this forum as a way to make money like you do on a daily basis. If you were a tenth of the insurance agent you claim to be you wouldn't have to be on the internet trying to recruit people to work for you for basically nothing in return. If you really are out in the field then you know that seniors are more confused today then ever, If you were really out in the field everyday like myself instead of sitting back trying to make money off other agents then you would know that 9 out of 10 seniors could not begin to tell you what the difference between med supps and medicare advantage let alone tell you the difference between an "A" and an "F" plan. These new standardized med supp plans coming out June 1rst of next year are going to have co-pays and deductibles. Now if you were around when the standardized plans came out in the 90's you will remember that part of the simplification of these plans was to remove confusing co pays and deductible. Standardization did not help the seniors or the agents it only helped the insurance companies by removing competition and high commissions. Free enterprise and capitalism are never served well when an industry is allowed to engineer legislation giving itself unfair advantages over its customers and employees.
Ok. Everyone take a deep breath and relax.
I long for the old days when every med supp app I wrote was with UA and I was paid 60% 1st year! UA controlled the market.
Standardization and the Medicare Limiting Charge changed med supps dramatically. Say good by to 60% 1st year.
Let's talk about confusion. Med supps are not confusing.
Part D and MA is a mess!!
Fella's, without confusion there would be no need for agents. I look at this as job security. The more confusing the better.
"Ok. Everyone take a deep breath and relax"
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I am relaxed and calm. But when (Frank) who spends his days in here recruiting unsuspecting agents to sell for him proceeds to call me greedy then its time for a reality check. I can promise every agent that reads this forum that I will never attempt to try to make money off of them. I made a post attempting to educate agents on the underlying motives of the insurance companies concerning "standardization" and this guy tried to twist that into I was a greedy crooked agent. I think I shall wait along time for an apology from this so called honorable man..........Sorry
I was giving my opinion, didn't mean to start a fight. I have been in the senior market since 1982, I made and still make a very comfortable living in the senior business.
Standardized plans are not the best thing for the seniors, its not the best thing for the agent. Can you imagine how far we would have come if the government jumped in to standardize everything? We would be back in the 1950s no reason to become better, just have 10 automobiles, 10 home designs, 10 vaccines, 10 computers... oh yes No home computers just government computers, 10 shoe designs.
Creativity is a must in all business's, take it away and you get exactly what we have now. It is in NO way the best thing for the customer, it may make your job easier, but no standardized supplements are not better for your clients.
Prices have jumped on Supps not just because of increased cost in healthcare, STANDARDIZATION has driven up the cost... ask your clients if they like that?
We are going to make 10 plans and 10 plans only they will be identical with all companies, ur cost is going to skyrocket but now listen BUT it will be easy for me as an agent and you as a consumer to understand.
Oh yes before standard plans, just like now they have to have approval by your state.
STANDARDIZATION has ripped you me and your clients off!
Well Yoda...I noticed you're from Alabama. Did you ever sell for Associated Doctors Insurance?
I go back a few years before you and did sell for them, then I discovered UA and the rest was history for several years.
They had the best plans, easy underwriting and fast claim payor before they went electronic. Believe they were one of the first to do that too. I miss those days.
We're coming into some crappy times for seniors and agents. I am pessimistic.
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