I'm Concerned

newbie2001

Super Genius
246
First, happy 4th of July!

Just wanted to hop on my soap box here and talk about some things concerning, and hear from some more experienced agents.

1. I'm 23 and currently have 142 lives on my book. That's 91 Medicare and 41 ACA.

Obviously we are seeing massive changes with the new administration and passing of the "big beautiful bill" (I am not looking for this conversation to turn political).

I am more concerned for the future stability of the industry and my income. I have spent 50k+ to acquire all of these clients over the last 2 years, and continue to spend on marketing every single month. I have no debt but my eventual goal was to wrap it up at 300 clients and just work referrals.

But with comp cuts in the Medicare space on plans and plan suppression and major changes to ACA, I am unsure about the future.

I have essentially 0% churn on my book. Granted I have only had most of my clients for 2 years, but I am a very dedicated agent and keep in touch with my clients via multiple touchpoints throughout the year and answer the phone.

I just don't want all of this time and dedication to end up being for nothing as I work my a** to build this, and the rug is pulled out from under me.

I have a physical office that I keep year-round, of course, and an excellent reputation on Google with 60+ 5 5-star reviews

2. I also feel like I have basically "bought myself a job". My whole idea of getting into the industry and specifically the health space, was to have some type of passive or semi-passive income. Where I could travel a little bit and not be so worried about being on the sales hamster wheel, like you are in the life business to an extent. At the current moment, I feel like I have bought myself a job and don't know how to scale past the point of me managing every single operation in the business.

At the moment, I manage:

My CRM
Client Inquiries
Marketing
Sales
Admin work
Calls to Carriers
Contracting
New Agent Training (I have 1 agent who works with me strictly selling Life)


The problem is I don't make enough to afford anyone to help with any of this. I'm so busy working in the business that I can never work on the business.

I am also an FT university student and will be graduating here in the Fall, so that will take a load off. Additionally, I have also started running ads and selling Life products again, which eats up a lot of time as well, but has been profitable. I called through my existing BOB and sold one FE policy for $21 a month that lapsed 🙃

Based on my current growth, I will be at 200 or very close to 200 Medicare & ACA lives by the end of the year which is my goal.

----

Rant concluded, but any advice is appreciated.
 
The industry is in the midst of a chaotic market correction, due to terrible legislation from the previous Biden administration, but it will work out in the long run.

Yes, you're gonna see a few changes here and there, but us brokers are always going to be needed to help people.

Believe me, I've heard every contrary argument on earth, and literally none of them are rooted in reality. Even the new CMS head honcho, Dr. Oz, was literally quoted as saying "I like brokers a lot."

Hang in there. You're very new, so you don't realize this industry goes through this sometimes. It's happened before and we're still here.

P.S. Don't worry about DonP. The sky is always falling in his head. 😉
 
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You should be very worried about the future of the agent in Medicare and aca . Many will say " don't worry we've been hearing the agent us history for 10 yrs " . It's very very different this time . #1 carriers profitability is imploding like never before ( United , Humana , Aetna , Centene ( last week stock down 50% because Ambetter the #1 aca provider profits imploded ) . #2 and thus hasn't even started yet . Trumps new tax bill crushes support for aca and Medicaid . Aetna saw the handwriting on the wall and exited aca . Now Ambetter profits collapsed and will surely pull areas and plans hard .

As far as Medicaid goes millions will lose it . But all these millions will still flood hospitals and crush hospital profitability . Guess what ? Hospitals will then raise contract prices big to ins carriers to get some if that $ back . That will put more profit pressures on carriers that sell aca and Medicare . Now what business would pay a commission or as much commission on something they make very little money on ? The truth is we've all known we sell sell products that are subsidized by the govt . We knew if the subsidies were scaled back hard our livelihoods would be affected . Guess what it's happening . The aca nkt is affected massively . Most agents business outside open enrollment was 150% or less income . That's gone . Now they'll be checking incomes hard and that eliminates many low income people who lied and said they make $15k a yr . The other killer was enhanced subsidies . That's gone . A 50 yr old that makes $60 k a yr was paying $300 -$400 a month with a $2 k gold plan deductible . That's going to be $1 k a month with $9k deductible. Few will buy it . I'm listing facts of what's happening not wishful thinking . That said I continue this till it ends . If I were your age I'd be diversifying hard to life ins , long term care and annuities if you want ti stay in the bus . Even I'd ad p@c . I haven't even discussed AI which will affect agents greatly
 
Rant concluded,
What Rant? - You are 23 Years Old and Living the American Dream. Your issues seem to be based on circumstances beyond your control and typical agency growth issues.

I am also an FT university student and will be graduating here in the Fall
Holy Cannoli - Way to Go

I feel like I have bought myself a job and don't know how to scale past the point of me managing every single operation in the business
All the successfull business owners on this forum have had this problem at some point. This is not unique to you. Spend Wisely. Growing Faster is not always the best Solution.
The problem is I don't make enough to afford anyone to help with any of this.
You might not make enough money to pay a full time person, but you might make enough to buy more tools. To hire part time workers and the like. To absord a flailing agency.
excellent reputation on Google with 60+ 5 5-star reviews
Thats Terrific
I am more concerned for the future stability of the industry and my income.
I dont know much about your specific niche. So Ill leave those comments to other posters. But look for pivot points and develop a plan to broaden your scope of work. Someone with 60 5 Star Reviews can easily tweak the business to sell something else.

As they say across the pond Good Show!
 
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First, happy 4th of July!

Just wanted to hop on my soap box here and talk about some things concerning, and hear from some more experienced agents.

1. I'm 23 and currently have 142 lives on my book. That's 91 Medicare and 41 ACA.

Obviously we are seeing massive changes with the new administration and passing of the "big beautiful bill" (I am not looking for this conversation to turn political).

I am more concerned for the future stability of the industry and my income. I have spent 50k+ to acquire all of these clients over the last 2 years, and continue to spend on marketing every single month. I have no debt but my eventual goal was to wrap it up at 300 clients and just work referrals.

But with comp cuts in the Medicare space on plans and plan suppression and major changes to ACA, I am unsure about the future.

I have essentially 0% churn on my book. Granted I have only had most of my clients for 2 years, but I am a very dedicated agent and keep in touch with my clients via multiple touchpoints throughout the year and answer the phone.

I just don't want all of this time and dedication to end up being for nothing as I work my a** to build this, and the rug is pulled out from under me.

I have a physical office that I keep year-round, of course, and an excellent reputation on Google with 60+ 5 5-star reviews

2. I also feel like I have basically "bought myself a job". My whole idea of getting into the industry and specifically the health space, was to have some type of passive or semi-passive income. Where I could travel a little bit and not be so worried about being on the sales hamster wheel, like you are in the life business to an extent. At the current moment, I feel like I have bought myself a job and don't know how to scale past the point of me managing every single operation in the business.

At the moment, I manage:

My CRM
Client Inquiries
Marketing
Sales
Admin work
Calls to Carriers
Contracting
New Agent Training (I have 1 agent who works with me strictly selling Life)


The problem is I don't make enough to afford anyone to help with any of this. I'm so busy working in the business that I can never work on the business.

I am also an FT university student and will be graduating here in the Fall, so that will take a load off. Additionally, I have also started running ads and selling Life products again, which eats up a lot of time as well, but has been profitable. I called through my existing BOB and sold one FE policy for $21 a month that lapsed 🙃

Based on my current growth, I will be at 200 or very close to 200 Medicare & ACA lives by the end of the year which is my goal.

----

Rant concluded, but any advice is appreciated.
Don't be concerned. Be cautiously optimistic, and flexible. Don't be rigid in your business model. Markets change all the time, and you need be be able to change with them. What you business looks like today will not be the way it looks 10 years from now.

Don't listen to the doom and gloomers here on the forum. People like @DonP AKA Joey AKA Captain Obvious AKA The biggest fraud in insurance history (I could go on, but you get the point) are just failed and bitter insurance agents. Which is why they are always complaining about the industry and screaming doom and gloom.

Pay attention to the people you are paying attention to. If they are tired and jaded, then they probably are not as successful as they are trying to tell you. But if they are generally optimistic, and don't tend to brag about their success, then they are probably more successful then they let on.

You are building a good book there. Just continue doing what is right for the customer, be flexible in your offerings, and stay focused.

We are in a hard market, but hard markets never last.
 
Im 63 and 30 years of Annuity, Life agency. Also created a dental discount PPO franchise. None of my active products are subject to govt subsidies or carrier comp shutdowns unless taken into receivership by DOI.

I would seriously consider branching out Into other products that are not under the thumbs of govt subsidies. You will always be shifting clients and healthcare is a huge maintenance just to service let alone lose commissions.

This MA market will implode not sustainable presently and only people safe will be beneficiaries….maybe.

JMHO
Till last yr Medicare was always about building your renewals yr after yr . It's what attracted 100's of 1000's to this space the last 5 yrs . Then starting last yr things changed and you had to aggressively move a large piece of your book . This yr I estimate having to move 50% or more if your book . That's if you have plans that pay commissions in your areas after commission suppressions . None of us know what Medicare looks like in 2 yrs . We're all just talking. I'm sure most of us ride this till it's not profitable . But there's strong signs things changing fast for the agent
 
I dont know much about your specific niche. So Ill leave those comments to other posters. But look for pivot points and develop a plan to broaden your scope of work. Someone with 60 5 Star Reviews can easily tweak the business to seel something else.

This. He is getting paid to build a loyal client and referral base.

He sounds like a business builder, at 23.
@23!
 
This. He is getting paid to build a loyal client and referral base.

He sounds like a business builder, at 23.
@23!
Yes, that is what attracted me to the space. Renewals.

Got started selling Life only when I was 20 with an MLM "recruit recruit recruit!" outfit.

But after a year, got on outta there and got better comp + learned the health side of things.

The sad thing is, I am really not that profitable because of my expenses, rent, technology, marketing, etc.

Part of the reason I am concerned. My game plan was to scale back marketing end of 2026, but who knows now. May have to pivot heavily back into Life.

I am running ads that are converting right now, very cheap and decently high intent for $200/monthly+ premium life cases, but I hardly have time to work for them for all the aforementioned reasons.

Hope for the best I suppose!

---

But back to the renewals, my idea was to get up to 300 clients. Basically relax for 6 months out of the year. Possibly do some travelling etc. Just have a nice life at young age.
 
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