Cont Life?

[jdeasy]

Agree with Maalox and Somarco.... eventually CLI/ACI will start getting hit by claims and will discover what MOO already figured out, That you can't correct actuarial errors with more business because it just compounds the problem.

I also understand as the agent you have to ride the wave when it comes so as long as they are in the mix I'd write them all day long too...

AmCon is not in their first rodeo for med sups. They have doing them for many. many years. Nor have they tried to buy up business the MoO does with their shell game of name of the month.

Comparing anyone to MoO is just wrong. AmCon may have some problems but they won't be self inflicked ones like MoO's.

 

[rousemark]

AmCon is not in their first rodeo for med sups. They have doing them for many. many years. Nor have they tried to buy up business the MoO does with their shell game of name of the month.

Comparing anyone to MoO is just wrong. AmCon may have some problems but they won't be self inflicked ones like MoO's.

Don't know about the new ownership but CLI was writing Med Supps from the inception of the company in 1983 when they were owned by Randall Baskin. Anybody that knew Randall in those days would know that he wasn't in the habit of loosing money..

 

[maalox]

AmCon may have some problems but they won't be self inflicked ones like MoO's.

The wounds have already happened, its just a slow bleed from here.


Again:

You can't have the lowest rate
Pay full commissions on every age
Pay full commission on GI business
Pay full commission on under 65
Pay agents 22%

Many carriers have already or are about to learn this lesson.

 

[jdeasy]

The wounds have already happened, its just a slow bleed from here.


Again:

You can't have the lowest rate
Pay full commissions on every age
Pay full commission on GI business
Pay full commission on under 65
Pay agents 22%

Many carriers have already or are about to learn this lesson.

They don't have the lowest rate but they do pay full commissions. Everyone doesn't follow the MoO model.

Their underwriting is tight enough to keep out the ones they don't want. I don't believe that they will go down the same road as name of the month.

I guess we'll see?

 

[maalox]

I also understand as the agent you have to ride the wave when it comes so as long as they are in the mix I'd write them all day long too...

That is the reason most agents struggle, you need to write
solid carriers so the business can stay on the books for more than a year or two. Running out to your clients and replacing business every year or two is a losing battle. Med Sup business needs to stay on the books for at least 4 years for you to make any money.

 

[Focus LTC]

That is the reason most agents struggle, you need to write
solid carriers so the business can stay on the books for more than a year or two. Running out to your clients and replacing business every year or two is a losing battle. Med Sup business needs to stay on the books for at least 4 years for you to make any money.

Who said anything about running. Priority mail works great!

Just get them on the books anyway you can. Replacing a current client's med supp is nothing more then a phone call and mailed app. You get to keep a customer (which is cheaper and easier then getting a new one), and they are happy with a new lower rate.

 

[somarco]

AmCon is not in their first rodeo for med sups. They have doing them for many. many years. Nor have they tried to buy up business the MoO does with their shell game of name of the month.

True, they were owned by Genworth before Aetna bought them. Based on what they did here (and possibly other states) with the dramatic rate drop + full commission on all GI business screams attempting to pick up market share.

Their underwriting may be tough, but when they are writing SSDI Medicare under 65, IEP, Trial Right and all the other stuff with low rates and full commission that pony won't last long.

You can't write enough underwritten business to offset the junk the agents are going to dump under GI rules.

Just ask Anthem and MOO if you don't believe me.

 

[jdeasy]

True, they were owned by Genworth before Aetna bought them. Based on what they did here (and possibly other states) with the dramatic rate drop + full commission on all GI business screams attempting to pick up market share.

Their underwriting may be tough, but when they are writing SSDI Medicare under 65, IEP, Trial Right and all the other stuff with low rates and full commission that pony won't last long.

You can't write enough underwritten business to offset the junk the agents are going to dump under GI rules.

Just ask Anthem and MOO if you don't believe me.

Anthem and MoO should not be compared to AmCon. Plus AmCon or just Continental wrote med sups before Genworth too.

They are not administered by MoO as it seems all the otjher bottom feeders are. When they were Continental they were 3 years here without a rate increase. MoO raised rates every year during that time.

 

[AllGold]

I don't know how American Continental will come out in the long run. I don't claim to be smart enough to figure that out.

But I do know I hate it when I see AGENTS defend MoO and all their shenanigans. I'd rather stick to being an agent and let the insurance companies, who employ actuaries and lots of people whose job is to keep the company profitable, defend themselves when they screw up.

 

[somarco]

Sometimes the marketing folks get carried away and come up with stupid things to do to grow the block. The underwriters and actuaries may (and usually do) object but when the push is on to write new business nothing else matters.

I have seen it happen too many times.

Seems like the bigger the carrier the more foolish their gimmick.