CIGNA to Pull Out of PFFS Business in 2011.

[AgentPipeline]

Today, CIGNA is announcing they will not offer CIGNA Medicare Access® (PFFS), their individual private fee-for-service medical plan, in 2011. Here is a link to their media statement with the official announcement.

CIGNA will continue to offer CIGNA Medicare Rx® (PDP), their nationwide individual prescription drug plan, and CIGNA Medicare Select® (HMO) (available in select counties in Arizona) in 2011 and beyond.

To make sure you are fully informed, below are highlights of what is changing and what is staying the same for the remainder of 2010 and for 2011.
• There is no visible impact to customers in 2010.
• Benefits, coverage, and premiums for 2010 for CIGNA PFFS are not changing; no one is losing coverage.
• CIGNA will continue to provide all individual PFFS administration, such as processing enrollments, issuing ID cards and paying claims.
• There is no change to contact information. Please continue to use the same phone numbers, fax numbers, websites and addresses to reach the same CIGNA teams as before.
• Agents can continue to offer CIGNA’s nationwide PDP and Arizona HMO products in 2010 and beyond, as approved by CMS.
• Current CIGNA PFFS customers will need to select a new medical coverage option for 2011. In the fall, CIGNA will provide a notice to these customers that their plan will not be offered in 2011.

Feel free to PM, post, or call the number below if you have additional questions on CIGNA’s announcement or information on alternative plans for 2011.

 

[somarco]

How many other carriers are doing likewise? Seems like the PFFS market is imploding, probably mostly due to Obamacrap.

 

[jsanchez001]

Is this the beginning of the end for the PFFS Market, or the last nail in their coffins? PFFS RIP
- - - - - - - - - - - - - - - - - -

How many other carriers are doing likewise? Seems like the PFFS market is imploding, probably mostly due to Obamacrap.

FYI...These plans were on their way out waaaaay before Obama became the prez

 

[somarco]

I understand the issues with CMS oversight have been building, but part of Obamacrap that got very little attention was the cut back in funding for PFFS plans.

 

[Daytona_Guy]

I understand the issues with CMS oversight have been building, but part of Obamacrap that got very little attention was the cut back in funding for PFFS plans.

Excerpt from my blog on this topic..




Don't Miss Your Piece of Cake This Time!

I hear from agents all the time as to how they are looking for a fresh, new opportunity. They say they're looking for free leads, a new concept, something that has never been done before. They're trying to get in front of the next big wave of insurance opportunity that has left them in the dust in the past. They often say, "If I had only gotten into Medicare Supplements years ago, I'd be RICH by now!", etc.

Well, if you are an opportunity seeker, I have great news for you now. The ObamaCare "Hope and Change" train has crashed through the medicare world and the damage assessments are being done now. Many experts in our industry agree, the opportunity for those in our industry will be unlike anything in a very LONG time.

​

Medicare Advantage has, over the past few years, been harder and harder to sell and become such a pain - with all of the regulations, Scope of Appointment form scrutiny, commission reductions, replacement prohibitions, etc. This has now been topped off by a president who wants to eliminate the medicare advantage altogether.

We are already starting to see the effects in one of the major carriers, CIGNA, pulling out of the 2011 Medicare Advantage bidding process. The Department of Health and Human Services fired off a letter to CIGNA and others, telling them that they must avoid raising rates on their members if they want to stay in the Medicare Advantage market. This, while they're simultaneously cutting the subsidies to the carriers for providing the same service. CIGNA responded by declining to participate in national Medicare Advantage going forward.

This is a trend that will continue. To the extent that they can get away with it - to remain profitable, the insurers will have to increase monthly premiums to their Medicare Advantage clients. They will also have to increase co-payments and other internal costs passed on to the members. HHS has made it clear, however, that they will not be approving such changes. So, backed into a corner, more will be making their exit from the marketplace.

This will be a horrible blow to the seniors, as I predicted in this video that got rave reviews from all except for AARP - who wrote me a Cease & Desist letter for mentioning what they were up to. They got their bill, and now the results that I predicted are coming true.


This will be a huge opportunity for those agents wanting to help potential clients with medicare supplement choices, as the Medicare Advantage market will begin to dwindle starting in November with thousands of members getting letters explaining that they have 1) Guaranteed issue into any medicare supplement provider for 1/1/11 and 2) They MUST pick a new plan/provider by 1/1/11 or the government will pick one for them.

This happened last year when Coventry left the Medicare Advantage market and it was a huge boost to our enrollment in medicare supplements. That was just the first break, and the tidal wave is coming.

Will it be hard for low income seniors? Absolutely. Somebody will have to write applications for seniors going onto medicare supplements, though, and it might as well be you.


----
Agents wanting to take advantage of the new opportunities should visit: www.sellmedicarebyphone.com

 

[medx]

Excerpt from my blog on this topic..


YouTube - Office Space - Cake

Don't Miss Your Piece of Cake This Time!

I hear from agents all the time as to how they are looking for a fresh, new opportunity. They say they're looking for free leads, a new concept, something that has never been done before. They're trying to get in front of the next big wave of insurance opportunity that has left them in the dust in the past. They often say, "If I had only gotten into Medicare Supplements years ago, I'd be RICH by now!", etc.

Well, if you are an opportunity seeker, I have great news for you now. The ObamaCare "Hope and Change" train has crashed through the medicare world and the damage assessments are being done now. Many experts in our industry agree, the opportunity for those in our industry will be unlike anything in a very LONG time.

​

Medicare Advantage has, over the past few years, been harder and harder to sell and become such a pain - with all of the regulations, Scope of Appointment form scrutiny, commission reductions, replacement prohibitions, etc. This has now been topped off by a president who wants to eliminate the medicare advantage altogether. See the video of President Obama saying so here.

We are already starting to see the effects in one of the major carriers, CIGNA, pulling out of the 2011 Medicare Advantage bidding process. The Department of Health and Human Services fired off a letter to CIGNA and others, telling them that they must avoid raising rates on their members if they want to stay in the Medicare Advantage market. This, while they're simultaneously cutting the subsidies to the carriers for providing the same service. CIGNA responded by declining to participate in national Medicare Advantage going forward.

This is a trend that will continue. To the extent that they can get away with it - to remain profitable, the insurers will have to increase monthly premiums to their Medicare Advantage clients. They will also have to increase co-payments and other internal costs passed on to the members. HHS has made it clear, however, that they will not be approving such changes. So, backed into a corner, more will be making their exit from the marketplace.

This will be a horrible blow to the seniors, as I predicted in this video that got rave reviews from all except for AARP - who wrote me a Cease & Desist letter for mentioning what they were up to. They got their bill, and now the results that I predicted are coming true.
YouTube - Medicare News You Need to Know

This will be a huge opportunity for those agents wanting to help potential clients with medicare supplement choices, as the Medicare Advantage market will begin to dwindle starting in November with thousands of members getting letters explaining that they have 1) Guaranteed issue into any medicare supplement provider for 1/1/11 and 2) They MUST pick a new plan/provider by 1/1/11 or the government will pick one for them.

This happened last year when Coventry left the Medicare Advantage market and it was a huge boost to our enrollment in medicare supplements. That was just the first break, and the tidal wave is coming.

Will it be hard for low income seniors? Absolutely. Somebody will have to write applications for seniors going onto medicare supplements, though, and it might as well be you.


----
Agents wanting to take advantage of the new opportunities should visit: www.sellmedicarebyphone.com

Good stuff, thanks for posting

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[CHUMPS FROM OXFORD]

I think I'm going to barf.

 

[AgentPipeline]

Here is an update to the original post. This was sent out by CIGNA early this morning. As always, feel free to post, PM or call with any questions.


"CIGNA is now asking that you stop marketing the 2010 CIGNA Medicare Advantage Private
Fee-for-Service (PFFS) plans – known as CIGNA Medicare Access® (PFFS) and CIGNA Medicare
Access Plus Rx® (PFFS) – to prospective enrollees in all states as of August 1, 2010.
As a natural result of this decision, CIGNA will no longer pay commissions for PFFS applications
received after midnight on July 31, 2010.

CIGNA will continue to pay commissions at the same level, using the same procedures, through the end
of the year on policies already in force.

To support you in this change CIGNA will be providing you with a CMS-approved template letter that can be
used to inform current CIGNA PFFS customers of the non-renewal in 2011.

We look forward to providing information on our 2011 product line up in the coming weeks. Thank you for
your continued support of CIGNA Medicare Services."

 

[medx]

Here is an update to the original post. This was sent out by CIGNA early this morning. As always, feel free to post, PM or call with any questions.


"CIGNA is now asking that you stop marketing the 2010 CIGNA Medicare Advantage Private
Fee-for-Service (PFFS) plans – known as CIGNA Medicare Access® (PFFS) and CIGNA Medicare
Access Plus Rx® (PFFS) – to prospective enrollees in all states as of August 1, 2010.
As a natural result of this decision, CIGNA will no longer pay commissions for PFFS applications
received after midnight on July 31, 2010.

CIGNA will continue to pay commissions at the same level, using the same procedures, through the end
of the year on policies already in force.

To support you in this change CIGNA will be providing you with a CMS-approved template letter that can be
used to inform current CIGNA PFFS customers of the non-renewal in 2011.

We look forward to providing information on our 2011 product line up in the coming weeks. Thank you for
your continued support of CIGNA Medicare Services."

How long until all the PFFS plans are gone ?

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www.nationalmedicaresupplements.com medicare supplement insurance www.americanseniors

 

[MedSuppPro]

Seems like they know how to properly handle MA dis-enrollments.

What I don't get is they have a bunch of happy customers and agent's... Why doesn't CIGNA offer an N plan?