How to Work with Medicare Leads With Poor Health

According to the U.S. Census Bureau, the size of the 65-and-older population has grown by over a third in the past decade. That means there is a large market out there of older adults enrolling in Medicare and looking for a Medicare Supplement Plan. Medicare Supplement Plans are great because they are the easiest Medicare product to sell and have a high-profit potential because of the renewal commission you get every year. But you have to know how best to sell these plans: some of the leads that you’re working with might be in poor health and wondering how best to keep their medical expenses under control. So how do you sell to a Medicare client who is in poor health?

Explain the Best Option

woman in a suit speaking with a man in a suit
Explain to your lead that a Medicare Supplement Plan is a great option for additional coverage.

Some of the seniors you work worth might have health conditions that could be an issue when it comes to signing them up for a Medicare Supplement Plan. The CDC reports that 60% of older adults have one chronic condition, while the other 40% have two or more. Of course, your leads will want the cheapest option, but that might not be the best choice for them if they have health conditions that require medical attention and ongoing treatments. Explain the situation to them, and point out that a more comprehensive Medicare Supplement Plan will be better for them because it will offer more coverage, even if it does cost a little extra.

It is also very important to explain to your clients how signing up for a Medicare Supplement Plan works. Make it clear to them that they will not face any underwriting if they sign up during their Initial Enrollment Period, but that this is not the case if they switch plans. Make sure they are aware of this so that they sign up for the right Medicare Supplement Plan from the start, and will not be denied or be forced to pay a higher rate later.

Medicare Supplement Vs Medicare Advantage

Because Original Medicare does not cover all expenses, and beneficiaries still have to pay coinsurance, copays and more, they will be looking for extra coverage. They have two options: Medicare Supplement Plans and Medicare Advantage Plans. Both can be great options – it all depends on their needs and budget – but Medicare Supplement Plans are generally better for those in poor health.

With Original Medicare and a Medicare Supplement Plan, your clients can better budget their out-of-pocket expenses. Not only that, but they will have access to any Medicare provider across the country that accepts Medicare assignment. Medicare Advantage Plans are more restrictive with their networks, so might not be the ideal choice for Medicare beneficiaries who need to see multiple doctors and specialists.

Finding Customers the Most Affordable Plan With the Most Coverageillustration of a man with a computer screen behind him with logistics

Once you have spoken to your client and are aware of their conditions and familiar with their budget, you can properly search through carriers for an affordable plan. Your client wants the best, so make sure to provide them with that by finding a plan with a carrier that has a positive record and financial history.

Medicare Supplement Plan insurance leads are a guaranteed commission for at least 6-7 years. If you get a lead with no health issues, great! But more often than not, this will not be the case. Don’t worry, you can still get them a great plan, especially if they have guaranteed issue. You just have to do a little comparing to find them the Medicare Supplement Plan that will best fit their needs while saving them as much as possible on their medical bills. If you are looking for exclusive leads that are ready to buy, Benepath will provide them to you! To get more information, call 866-368-0377.

5 Mistakes Medicare Agents Make

A good agent knows that they can only succeed with the help of their customers. Customers look to agents for help finding a plan that meets their needs without breaking the bank, and that is what you aim to do. But your work doesn’t stop there: you need to be constantly learning and educating, as well as connecting with your clients. Here are 5 costly mistakes to avoid, along with tips to keep you at the top of your game.

picture of caucasian hands on a laptop keyboard with "never stop learning" on the screen
It is important to never stop learning because Medicare is always evolving, and you need to be able to provide accurate information to your customers.

1. You Stop Learning/Training

When you’re an agent, there is no such thing as knowing too much about a product, and that includes Medicare. Medicare is always evolving, and you need to be able to provide accurate information to your customers. Plans can change, or even disappear, while new ones emerge. For example, Plan F, High-Deductible Plan F, and Plan C all disappeared this year, while High-Deductible Plan G was introduced to replace them. If you do not keep on top of information like this, then you won’t be able to properly sell your product. Work towards becoming an expert in your field by constantly learning with online courses and training webinars.

Even when you do become an expert in this field, you still need to keep up with company notices. If there are any changes such as rate increases, then you need to notify your customers on how they will be impacted.

2. Failing To Educate Your Customers

Your job is to help customers completely understand their insurance plan. The whole process of choosing and signing up for a plan can be confusing, so explain everything as simply as you can. Go over what is covered, what is not, and how Medicare Supplement Plans work with Original Medicare. Don’t assume they know as much about everything as you do! The more you educate them on how the system works, the more likely they will be to spot an issue on a bill or handle a problem on their own. Educated customers are happy customers – ones who will continue to use your services as well as refer you to others.

3. Not Following The Rules

caucasian man writing "know the rules" on a piece of paper pinned against the wall.

If you do not follow the rules that the CMS has set for agents, then you could lose your license to sell Medicare Supplement Plans. The CMS is very serious about monitoring agents and will monitor agents to make sure that they are being helpful to Medicare customers and not taking advantage of anyone. Breaking their rules could even mean facing jail time.

4. Not Knowing Guidelines

CMS is strict about agents complying with rules and regulations, and so are the carriers you work with. Carriers have additional guidelines that you have to follow, and if you fail to comply, then you can lose your business with them. Make sure you stay on top of the guidelines of all the carriers you work with.

green price tag with money symbol on it.
If you focus too much on price, and not your customers’ needs, you could end up losing sales.

5. You Focus Too Much On Price

If you focus too much on price, and not your customers’ needs, you could end up losing sales. Sell based on value, not price. Teach your customers the value of a Medicare Supplement Plan, and ask questions about what they are looking for. Ask questions and answer any of theirs that may come up. And always check on your customers to make sure they are happy with their plan, or if they might be interested in finding a different Supplement Plan.

Medicare: The Gift That Keeps On Giving

Selling Medicare Supplement plans is a very rewarding job. Not only do you get to help seniors save money, but you get a residual income. In other words, Medicare is the gift that keeps on giving. But how?

Medicare Sales At All-Time High

man's hand with a blue marker going up in a line. the words "revenue"
Selling Medicare Supplement plans can give you a continuous revenue.

The AARP has found that each day 10,000 Baby Boomers turn 65 in America, a figure expected to continue well into the 2030’s. This is great news for Medicare agents. Many seniors cannot afford their Medicare Part B bills because they are on a fixed income, so they search for ways to help pay for it. This is where you come in to save the day with a Medicare Supplement plan. With the growth of the aging population, and increase in Medicare sales, there is no better time to sell Medicare!

Seven Years Of Commission

You read that right, when you make a Medicare Supplement sale, you will have a built-in commission for 7 years. This is where the residual income comes into play. Once you sell a Supplement plan, clients are commonly re-written year after year.

Let’s take a look at an example to simplify things. When you first make a sale, you spend $400 on leads to make that sale, and make a commission of $400. But because the consumer will likely sign (on average) for 8 years, there are 7 years worth of profits that can be made on that one sale. That equates to a $2800 profit for the life of that sale. So even though you have spent money on marketing and buying the lead, you still make that money back and more. You’re constantly winning.

The example below represents the residual income you could make over the years, assuming that you’re making $30,000 in new commissions each year:

Maintain Your Relationships!

Although you can keep earning a commission for 7 years, you can’t just forget about your customers. People are more willing to buy from someone they know and trust. Be sure to follow up with your clients to make sure they are happy with your product, and keep the relationship going. Some may want to make changes to their plans or enroll in a new plan. You want to make sure you are the one they turn to when this happens, so that you get the commission.

Do not snooze on Medicare Supplement sales or on your current clients. Medicare sales are through the roof because of the aging population. If done right, you will earn a 7 year commission on just one sale. Medicare leads are the gifts that keep on giving even after you spend your marketing dollars to acquire them.

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