Individual Health Marketing Cost

[ABC]

This is a good topic.

My thoughts are that most health lead companies will drop out of that segment.

Our comp is going to be cut in half.
So if you buy 100 lead for $600 and in the past you made $2,000 off of that. Now you are only making $1,000. Will individual agents stay with that business model to make $20,000 a year?

I think once comp is cut we will see a huge drop off of agents producing in the individual market.

 

[SamIam]

Half you would be lucky, its going to be in the neighborhood about 5%.

 

[bill3173]

Half is correct for now based on the numbers I've heard leaked for a couple of the Majors: 10% FYC and 5% renewals.

Some people would like for us to go broke, but it's not going to happen. I plan to raise my standard of living in the coming year. Nothing but net.

 

[669comche]

Nobody knows what it is going to be. And thats the root of the problem.

If its 5% the individual agent is going to go bye-bye.

10%? Then its going to get interesting.

 

[YouGotMyMoney]

Half is correct for now based on the numbers I've heard leaked for a couple of the Majors: 10% FYC and 5% renewals.

Some people would like for us to go broke, but it's not going to happen. I plan to raise my standard of living in the coming year. Nothing but net.

They need to have a flat commission structure...ie...10% every year, otherwise a lot of agents will be flipping clients for the extra 5% commission.

 

[HealthGuy]

SamIAm has his crystal balls out at 5%. Wow.

 

[YouGotMyMoney]

SamIAm has his crystal balls out at 5%. Wow.

At 10% I am not going to market for ind health ins, 5% u can forget about it.

 

[ABC]

Even with the comp being cut in half that will clear out at least 1/2 to 3/4 of the individual market producers.

Mot of these agents business model is to buy leads. So with them gone so goes the lead generating companies that raised the PPC in the first place. All of sudden you remove a huge portion of the sites generating leads its going to go somewhere.

The agents left who have invested in their own website will pick up all this traffic. That will be converted into sales.

My personal individual production could go from 8 policies a month to a 100.

 

[YouGotMyMoney]

Mot of these agents business model is to buy leads.

Most successful agents purchase leads of some sort.

The agents left who have invested in their own website will pick up all this traffic. That will be converted into sales.

I think that the lead vendors will be picking up more traffic.

My personal individual production could go from 8 policies a month to a 100.

If you believe that, boy have I got some.....

 

[SamIam]

Commonsense tells the carriers if agents are sending in Business without knowing what they will get paid they will accept anything. If were in the carriers position that's what I would do.