If you're just starting to sell Medicare Supplements and have questions about who you should sell to, let's review our list of ideal candidates who would benefit from purchasing a Medicare Supplement policy from you.
When you're talking to your clients about Medicare Supplements it's important to ask them questions about their health and lifestyle. Ideal candidates for Medicare Supplements don’t want to use network doctors, and they want the freedom to go to any hospital or doctor that accepts traditional Medicare. They typically want to know their costs every year, and don’t want to deal with copays and coinsurance.*
Many ideal customers live in rural areas where Medicare Advantage plans and networks are limited. Having the ability to go to any doctor or hospital that accepts traditional Medicare is a huge draw for many people, which in turn makes them great Medicare Supplement candidates. Typical Medicare Supplement policy holders prefer having original Medicare, and would like to save money on their prescription drug plans.
Some of your clients may have health issues, but if they purchase a Medicare Supplement policy during their open enrollment period, they have the choice to pick and choose which plan they'd like without having to go through any underwriting. This open enrollment period occurs three months before they turn 65, the month of their 65th birthday and three months after they've turned 65.
Many typical Medicare Supplement policy holders have higher incomes and enjoy traveling. They want to have flexibility with their coverage, and enjoy having the ability to take their policy with them while traveling.
*Some Medicare Supplements do have copays and coinsurance.
Some of your clients may receive lower premiums.
Your clients may receive lower premiums if they:
What is MACRA? And how does that effect Medicare Supplement sales?
The Medicare Access and CHIP Reauthorization Act of 2015 (MACRA) is a bipartisan legislation signed into law on April 16, 2015. This legislation changes how Medicare pays physicians who provide care to traditional Medicare beneficiaries. And what does that mean for you, the insurance agent?
It means Medicare Supplement Plans C, F and High Deductible F are no longer available for newly eligible Medicare beneficiaries. However, clients who already have these plans will be grandfathered in, and will continue to be able to use their existing policies or even change their policy to another Plan C or F in the future, if they choose.
Newly-eligible clients are those who first become eligible for Medicare due to age 65, disability, or end-stage renal disease on or after January 1, 2020. Newly eligible Medicare beneficiaries will have to choose from other Medicare Supplement plans which include: A, B, D, G, K, L, M and N.
Plan G continues to remain a popular Medicare Supplement plan, but you can review the differences below.
Plans C and F will NOT be options for Medicare beneficiaries who turn 65 on or after January 1, 2020.
*Plans F and G have high-deductible options in some states. If your client chooses this option, they must pay for Medicare covered costs (coinsurance, copayments, deductibles) up to the deductible amount of $2,340 in 2020 before the policy pays anything.
**After your client meets the out-of-pocket yearly limit and yearly Part B deductible, the Medigap plan pays 100% of covered services for the rest of the calendar year.
***Plan N pays 100% of the Part B coinsurance, except for a copayment of up to $20 for some office visits and up to a $50 copayment for emergency room visits that don’t result in admission.
Nearly 11,000 people turn 65 every, single day. Clearly, there is no shortage of Medicare Supplement prospects. Before discussing different plans with your clients, be sure to ask them questions about where they plan to live if they're retiring, if they have health issues, whether or not they're still working and have employer based coverage or spousal coverage. Asking these important questions will help you when you review the different plans available to them, guaranteeing a Medicare Supplement that provides the best coverage and price for their needs.
Need more info? Download our Medicare Supplement Kit to learn more!
Carolyn Portanova is the Director of Marketing at The Brokerage Resource and has been with the firm since 2012.