Mass disappointment with 3.7% rate increase . Humana and United stks down 5% plus after hrs

[sman]

The Part D changes will also have a big impact on 65+ still on their group plan. Their drug coverage will likely not meet standards and they are going to be very surprised when they see that penalty at retirement

Is there something in writing stating the creditable coverage requirements will be changing?

 

[Jim Wright]

Is there something in writing stating the creditable coverage requirements will be changing?

No, but if creditable coverage has to pay at least as much as Medicare I would assume most group drug coverage is not going to be able to do that. BCBS of SC said that right now, 70+% of their group plans meet the criteria. If the Part D rule passes (obviously it did), they said that number drops to 36%

 

[sman]

No, but if creditable coverage has to pay at least as much as Medicare I would assume most group drug coverage is not going to be able to do that. BCBS of SC said that right now, 70+% of their group plans meet the criteria. If the Part D rule passes (obviously it did), they said that number drops to 36%

It's going to be impossible to advise potential clients as whether or not their plan meets the criteria. And I'm guessing there will be many in HR who don't have a clue either. Fun times ahead.

 

[DonP]

Humana hitched it's wagon to Medicare a few years ago when they exited the individual and group health markets. They will be hit hardest by this and likely have the biggest changes to their MAPD portfolio.

And most agents selling mapd are top heavy with Humana as the last 4 yrs they’ve had the best products . But don’t believe for a second if mapd suffers big big rate increases coming to med sups . Huge pdp increases will hit market in 2025 . Everyone suffers in 2025

 

[axeman462]

And most agents selling mapd are top heavy with Humana as the last 4 yrs they’ve had the best products . But don’t believe for a second if mapd suffers big big rate increases coming to med sups . Huge pdp increases will hit market in 2025 . Everyone suffers in 2025

100% and thats what a lot of agents are forgetting.

Its also a good thing that none of these MAPD carriers don't also sell medigap.

 

[sman]

And most agents selling mapd are top heavy with Humana as the last 4 yrs they’ve had the best products . But don’t believe for a second if mapd suffers big big rate increases coming to med sups . Huge pdp increases will hit market in 2025 . Everyone suffers in 2025

Fortunately I'm not top heavy Humana. They're only about 20% of my book. Aetna is about 60%. UHC is about 10% and Anthem, Cigna and Wellcare make up the rest.

 

[hockeyday]

And most agents selling mapd are top heavy with Humana as the last 4 yrs they’ve had the best products . But don’t believe for a second if mapd suffers big big rate increases coming to med sups . Huge pdp increases will hit market in 2025 . Everyone suffers in 2025

Med Sups you should be writing carriers with no ties to MAPD plans

 

[Yagents]

Utilization and inflation will dictate where MAPD and Med supps will be going.

Difference is, MAPD is funded by the gov't, med supps are not. As you can see today with health stocks getting slammed (not because of med supps), the gov't controls MAPD's future. Same for PDP and ACA.

 

[axeman462]

Utilization and inflation will dictate where MAPD and Med supps will be going.

Difference is, MAPD is funded by the gov't, med supps are not. As you can see today with health stocks getting slammed (not because of med supps), the gov't controls MAPD's future. Same for PDP and ACA.

It's a good thing medsupps don't supplement government healthcare and the policy holders don't need PDPs

 

[Yagents]

Weak argument