Selling Short Term Plans During OEP ?

[starproducer]

has anyone been Selling Short Term Plans now during OEP ?

 

[timsip]

has anyone been Selling Short Term Plans now during OEP ?

I just did sitting in my car waiting for my kid to get out of school.

 

[G.Gordon]

Yep, just wrote one on a very healthy 63 year old who's Coventry plan terminates 12/31. He will need 15 months of coverage, two short term plans will do it and then on to Medicare.

Cheapest ACA compliant plan more than 3x the price of a $5k ded 12mo short term plan.

 

[starproducer]

i guess we can sell short term plans day and night. less hassles glitches to deal with much quicker signup

 

[timsip]

i guess we can sell short term plans day and night. less hassles glitches to deal with much quicker signup

And better comps. With that said you best be covering your asses when selling these. STM can be a quick way to get a commissioner's office attention if you do it wrong.

 

[G.Gordon]

I only sell 12mo plans during this time of year. Big liability if you sell a 6mo plan that has to be re-written mid year. What if they develop serious health problems early in the year, now they are not covered for the second half.

 

[Post Quartermaster]

Flag@your-e&o.com................

 

[AllenChicago]

STM plans used to be reasonably priced. But now it seems like they're raising premiums in an abusive manner. The profit-margins aren't as large as what restaurants earn on beverages, but they're pretty respectable. For instance, here's an excerpt from a current rate filing from National Health Insurance Company's STM:

"Item 8. Expenses and Commissions

Claims, expense and margin provisions are as follows:

Claims 55.0%

Commissions 20.0%
Administrative Expense 15.5%
Premium Tax 2.5%
Profits and Contingencies 7.0%
Total Expense and Profit Margin 45.0%"

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