Move from FE/MA to Med Supp---your Advice?

[Nom.de.plume]

I have been doing MAPD and FE for several years; MAPD is seasonal and FE has rejection rates and cancellation rates that make it a headache.

I worked AEP this year with another agent that specializes in Med Sup. I have shied away from them due to the much smaller commissions--but as he said they are easier to sign up and they almost NEVER cancel.

The IMOs I have talked to are the same routine as FE- $400 for DM drops etc

Are there any carriers/IMO that will work with you on the lead cost to get started? I dont want to lay out a lot of cash for something I find later does not work well (Has happened to me in FE a number of times)

What are your experiences? I am leaving this open ended--I want to know what you know, not asking for a specific answer.

I very much appreciate your input!

 

[JimmyUt]

Direct mail for MAPD is tough because the only real target you have throughout the year are turning 65s. If it were me, I would get all my ducks in a row for next AEP and keep selling FE until then. If you get with the right FMO they can help with leads etc.for both times of year. I started in FE and transitioned over to both about a year in the business because my main area has a 40% or so MA penetration.

 

[Nom.de.plume]

Do you have an IMO to suggest?

 

[JimmyUt]

My IMO is a buddy of mine and he takes good care of me, but he is local to me. I would suggest Neishloss and Fleming, Berwick. Or Ritter.

 

[Newby]

I have been doing MAPD and FE for several years; MAPD is seasonal and FE has rejection rates and cancellation rates that make it a headache. I worked AEP this year with another agent that specializes in Med Sup. I have shied away from them due to the much smaller commissions--but as he said they are easier to sign up and they almost NEVER cancel. The IMOs I have talked to are the same routine as FE- $400 for DM drops etc Are there any carriers/IMO that will work with you on the lead cost to get started? I dont want to lay out a lot of cash for something I find later does not work well (Has happened to me in FE a number of times) What are your experiences? I am leaving this open ended--I want to know what you know, not asking for a specific answer. I very much appreciate your input!

I have said for many years now, any agent that that sells FE and doesn't cross sell Med Sups is nuts. Any agent that sells Med Sups and doesn't cross sell FE is nuts.

Once you get your first product going well (FE or Med Sups) you start adding in the additional sale. Cross selling these two is the easiest thing in the world from either direction.

If you are going to cross sell Med Sups, put your FE mailers on incomes of $15,000-$70,000 ages 60-79.

The beauty of Med Sups is the renewals not the first year. If you sell just $2,000 in commission per month (around two med sups per week) in addition to your FE sales you will have $24,000 in renewals before you get out of bed on January 1st of your 2nd year. A year later you have $48,000 and once you are five years in you are making six figures before you sell your first policy that year.

They say it can't be done, but I do it all day long. When you have multiple products in the house, you have business that stays on the books.

 

[Nom.de.plume]

Yeah I tried Neishloss and Ritter---kinda the same story as FE. They have no skin in the game if you succeed or not--would like to find an IMO willing to put their money where their mouth is.

Will check Berwicks site now--thanks for the informative, friendly and concise advice! Its a rarity here!

----------

 

[Newby]

Yeah I tried Neishloss and Ritter---kinda the same story as FE. They have no skin in the game if you succeed or not--would like to find an IMO willing to put their money where their mouth is. Will check Berwicks site now--thanks for the informative, friendly and concise advice! Its a rarity here!

Those IMOs exist but you will take a huge haircut. There is one in our town that pays minimum wage and $50 per med sup with no renewals. If you are looking for something like that, you don't believe in yourself.

You have to be the one taking risks if you are going to be the one rewarded.

 

[JimmyUt]

Yeah I tried Neishloss and Ritter---kinda the same story as FE. They have no skin in the game if you succeed or not--would like to find an IMO willing to put their money where their mouth is.

Will check Berwicks site now--thanks for the informative, friendly and concise advice! Its a rarity here!

Commissions in MAPD are the same unless you assign them or recruit, so other than helping with mailers etc, you wont find many willing to put some skin in the game. I would sell both MA and med supps, but they are definitely different clientele. Most FE folks that respond to typical mailers are MA clients.

 

[Nom.de.plume]

[QUOTE=Newby;936442
So what you are saying is--don't get two separate streams of leads--buy FE leads and cross sell?

I try to cross sell all I can--but the folks that buy FE are doing so because they are not good planners and dont have a lot of income--so Med Sups are kind of expensive--they tend to go to MA.

Hope I am getting the core of your message

And again, THANKS for the concise, informative and professional response---not that common on here! I appreciate it

 

[axeman462]

Yeah I tried Neishloss and Ritter---kinda the same story as FE. They have no skin in the game if you succeed or not--would like to find an IMO willing to put their money where their mouth is.

Will check Berwicks site now--thanks for the informative, friendly and concise advice! Its a rarity here!

----------

Senior Market Sales claims they do. But I warn you, the people there are incompetent.