Does anyone really get "rich" selling Medicare

newbie2001

Expert
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Hey everybody, thought i'd put this out here for general discussion and to share my thoughts.

We all know what a Medicare renewal pays, approximately $300 per year. To gross $90,000 a year you need approximately 300 clients, then you have business expenses like marketing/leads, office space, CRM, and other general business expenses.

I understand those things are the cost of doing business but a small office space could easily cost you $6,000 a year. My point being, that even if you were to say achieve a remarkable client base of 1,000 individuals you're only making $300,000 a year and having to service all of these people. Then factor in churn of 10% a year between switchers/death/moving/adverse events. Now you're needing to still add 100 additional new clients a year just to keep pace.

Now while $300,000 is nothing to scoff at it takes a lot of time and resources to even reach that 1,000 client mark in the first place.

Then at that point you ask yourself do I need to hire staff to help handle renewals and service calls? Another expense.

I was brought into this business in a MLM life only outfit and sold the dream. It just seems almost impossible to scale your way to $500,000 $600,000 $700,000 $1,000,000 a year without becoming some faceless call center. With overrides going away you can't really hire 1099 agents anymore and collect a small override on there book either.


Is there anyone here with a large book (500+) who could give this situation some clarity? I don't want to work a salary job my entire life but when you look at cost of acquisition + how many people it takes to make a decent living it makes you wander.
 
Hey everybody, thought i'd put this out here for general discussion and to share my thoughts.

We all know what a Medicare renewal pays, approximately $300 per year. To gross $90,000 a year you need approximately 300 clients, then you have business expenses like marketing/leads, office space, CRM, and other general business expenses.

I understand those things are the cost of doing business but a small office space could easily cost you $6,000 a year. My point being, that even if you were to say achieve a remarkable client base of 1,000 individuals you're only making $300,000 a year and having to service all of these people. Then factor in churn of 10% a year between switchers/death/moving/adverse events. Now you're needing to still add 100 additional new clients a year just to keep pace.

Now while $300,000 is nothing to scoff at it takes a lot of time and resources to even reach that 1,000 client mark in the first place.

Then at that point you ask yourself do I need to hire staff to help handle renewals and service calls? Another expense.

I was brought into this business in a MLM life only outfit and sold the dream. It just seems almost impossible to scale your way to $500,000 $600,000 $700,000 $1,000,000 a year without becoming some faceless call center. With overrides going away you can't really hire 1099 agents anymore and collect a small override on there book either.


Is there anyone here with a large book (500+) who could give this situation some clarity? I don't want to work a salary job my entire life but when you look at cost of acquisition + how many people it takes to make a decent living it makes you wander.

questions what are you making at your w2 job per year, 2. Why do you need an office? I will say this with all of the changes coming in 2025 in terms of agent comp it will become harder to make the same amount of money, if I was starting over I would build my aca book as big as I could, most people don't understand that there are more people on aca plans than Medicare
 
questions what are you making at your w2 job per year, 2. Why do you need an office? I will say this with all of the changes coming in 2025 in terms of agent comp it will become harder to make the same amount of money, if I was starting over I would build my aca book as big as I could, most people don't understand that there are more people on aca plans than Medicare
1. $50,000 a year + benefits
2. I conduct my business via seminars most prospects want to come to my office.

I know what you’re saying about ACA, larger market. Business just isn’t as sticky but still same issue as Medicare with the commissions and scaling the book.
 
Medicare sales are GRS . . . get rich slowly

Growth is not necessarily linear. Most folks will have flat spots and dips.

Business isn't always sticky. Shit happens.

CMS can change the rules anytime they want . . . and rule changes are not always in your favor.

Carriers can change rules anytime they want . . . and changes are not necessarily in your favor.

Murphy's law is always lurking

Men make plans and God laughs.
 
1. $50,000 a year + benefits
2. I conduct my business via seminars most prospects want to come to my office.

I know what you’re saying about ACA, larger market. Business just isn’t as sticky but still same issue as Medicare with the commissions and scaling the book.
so you are doing medicare all ready? and\you have a w2 job? I've had 1 person in 5 years ask to come to my office, lol I work from home, and we sat at my kitchen table, I write around 200 t65 per year.. my ACA's go no place but I only have small biz owners, easy to get just pick a busy street in any town and go in and introduce your self
 
so you are doing medicare all ready? and\you have a w2 job? I've had 1 person in 5 years ask to come to my office, lol I work from home, and we sat at my kitchen table, I write around 200 t65 per year.. my ACA's go no place but I only have small biz owners, easy to get just pick a busy street in any town and go in and introduce your self
Yes I left the MLM agency last year in May. To start selling primarily Medicare.

I have sub 50 clients 😅😬
 
if your still working I would probley stick with that until you got enough money to go full time in the insurance biz for 1 year, if your doing t65 that is the long game, it may take 6-10 months to get someone over the finish line..
 
if your still working I would probley stick with that until you got enough money to go full time in the insurance biz for 1 year, if your doing t65 that is the long game, it may take 6-10 months to get someone over the finish line..
Yeah it can definitely take that long. But back to my original post. How do you scale this business beyond 1,000 clients without becoming some faceless call center. Feels like the margins are just too small.
 
Yeah it can definitely take that long. But back to my original post. How do you scale this business beyond 1,000 clients without becoming some faceless call center. Feels like the margins are just too small.
you learn how to market, what do you do to market now.. if all your doing is seminars my question is why? what does your up line provide? How many ACA members do you have? why did some of those leave? My bank account love the margins.. you probley already got your LLC and s-corp all set right?
 
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