Adding Medicare Sales To Your Practice
Adding Medicare Sales To Your Practice is an easy way to generate substantial additional revenue to any insurance sales agency. This is the best fit for agencies or agents that currently sell health insurance, P & C insurance, financial planning firms and accountants. It is easiest for these agencies because they are usually already have clients that are aging in to Medicare. Others already have a number of clients on Medicare. Almost everyone will have a Medicare plan of some type but will usually never have the best plan for their situation. A strong understanding of Medicare will make it easy for agents save current clients money.
How much can you make by adding Medicare sales to your practice?
The short answer to this question is they can make a lot of money. Medicare business creates recurring revenue because it pays high renewals and has a high retention rate. Medicare plans will automatically renew every year. The average Medicare case renewal pays about $240 per applicant. As a result, a book of 500 clients (which is not that difficult to achieve) will result in a renewal stream of $120,000 a year.
What products should you be able to offer?
There is a decision to make with Medicare about product types to offer. Ideally, it is best to offer Medicare Advantage plans (MAPD plans), Part D Rx plans and Medicare supplement plans from multiple companies. This will allow you to place business with most clients even if they already have a Medicare plan of some type in place. Some agencies and agents may not want to include part D and MAPD plans because of the CMS rules regarding annual certifications and compliance. It is possible to only offer Medicare supplement plans and as a result, avoid the need for certs and CMS compliance rules. The best scenario is to offer all types but you need to do what fits your practice best.
How hard is it to get through the Medicare learning curve?
It depends on what products you plan to offer. Medicare is not nearly as complex as its made out to be. If an agency only offers Medicare supplements, it is very simple to get started. If MAPD and part D plans will be offered as well, the learning curve increase and as a result, the time to get up to speed increases. Crowe and Associates will provide all the training needed to confidently offer Medicare to your clients. Call our office (203-796-5403) or send an email to [email protected]ociates.com to learn more.