Med Supp Rate Increase | BCBS vs UHC

[newbie2001]

Hi everyone,

Could someone who is more knowledgeable than me in the med supp space educate me on this please.

Is there a universal time when med supp rate increase go into place? I.E. January of every year, April of every year? Or is it a per carrier basis?

Another question, I have a prospect who is coming off group (age 67) and wants a med supp. I pulled rates up Humana being the lowest in my area but per my quoting tool the "time in market" is only 4 years, then Cigna with 5 years. This is the age of the block of business correct?

After explaining to him about blocks of business and that the reason the rates are lower is because they have a younger population we took a look at BCBS with 58 years "time in market" and UHC 26 years "time in market". Both have similar rates about $5 a month difference BCBS being cheaper now. These are 2024 rates.

Then out of curiosity today I pulled the 2025 rates and saw BCBS become more the expensive of the 2, it was my understanding BCBS has steadier rates?.

Come Jan 2025 will his rate be bumped to the 2025 rate or will he retain the 2024 rate since he signed up later in the year. He is leaning towards BCBS but I think his rate increases it may be better to take UHC at this time.

Thanks!

 

[Chazm]

No universal rate changes. It's all over the map.

Don't try to guess who will have the lowest rate increases. You will lose.

 

[newbie2001]

No universal rate changes. It's all over the map.

Don't try to guess who will have the lowest rate increases. You will lose.

So rates change with different carriers at different times of the year?

If you had to choose, UHC vs BCBS vs Humana (Achieve). Which one would you pick.

 

[somarco]

If you are looking at CSG, time in the market is useless.

Other software may be more accurate, showing how long they have been in your state (which is much more meaningful).

 

[LostDollar]

Don't try to guess who will have the lowest rate increases. You will lose.

Caveat, I am not an agent.

Just an FYI, Variations of that statement are the consistent advice I have seen from different agents answering that question over the 8 years I have been a forum member.

Personally--

I have an HDF plan. I did some shopping and evaluation and decided I was choosing a carrier with a record of infrequent rate increases. (Plan is now in closed book status)

So far it is agents 1, LD 0; but I haven't died yet so the final score is not in.

 

[newbie2001]

If you are looking at CSG, time in the market is useless.

Other software may be more accurate, showing how long they have been in your state (which is much more meaningful).

Ah... well I have been mislead then. I figured time in market meant something.

Best to just sell Humana's Achieve plan then? Since its the least expensive around.

 

[rmhaire]

Hi everyone,

Could someone who is more knowledgeable than me in the med supp space educate me on this please.

Is there a universal time when med supp rate increase go into place? I.E. January of every year, April of every year? Or is it a per carrier basis?

Another question, I have a prospect who is coming off group (age 67) and wants a med supp. I pulled rates up Humana being the lowest in my area but per my quoting tool the "time in market" is only 4 years, then Cigna with 5 years. This is the age of the block of business correct?

After explaining to him about blocks of business and that the reason the rates are lower is because they have a younger population we took a look at BCBS with 58 years "time in market" and UHC 26 years "time in market". Both have similar rates about $5 a month difference BCBS being cheaper now. These are 2024 rates.

Then out of curiosity today I pulled the 2025 rates and saw BCBS become more the expensive of the 2, it was my understanding BCBS has steadier rates?.

Come Jan 2025 will his rate be bumped to the 2025 rate or will he retain the 2024 rate since he signed up later in the year. He is leaning towards BCBS but I think his rate increases it may be better to take UHC at this time.

Thanks!

First, there is no universal time of year for rate increases. I've seen companies raise rates in all months of the year.

Second, most companies have a 12 month guarantee on new enrollees. Some but not all.

Also, the state you're in and whether the plan is issue age or attained age comes into play.

As for the number of years in the market, that's more important when it comes to a company that's new to medicare. You're looking for a company that's committed to the business.

 

[newbie2001]

First, there is no universal time of year for rate increases. I've seen companies raise rates in all months of the year.

Second, most companies have a 12 month guarantee on new enrollees. Some but not all.

Also, the state you're in and whether the plan is issue age or attained age comes into play.

As for the number of years in the market, that's more important when it comes to a company that's new to medicare. You're looking for a company that's committed to the business.

They are all Issue Age plans

 

[somarco]

Best to just sell Humana's Achieve plan then? Since its the least expensive around.

Not necessarily . . .

 

[wolf5150]

They are all Issue Age plans

I thought UHC is community rated. Maybe UHC does it different state to state?