The State Licensing Exam
The next step to becoming a licensed Medicare agent is to pass the state licensing exam. The exam can be taken at various testing centers throughout your state, however, each state has its own insurance licensing exam and the requirements may vary, so be sure to read those specific to your state of residence when preparing for the test. Typically, you will need to bring with you an original copy of your Certificate of Completion from your pre-licensing course and a valid, signed form of identification that includes a photo. Be sure the name on the identification matches the name on your Certificate of Completion and the name you used to register for the exam. A score of 70% is required to pass the exam.
Top Medicare Advantage Companies You Might Recognize
- Cox Health
The confusing part about Medicare Advantage is that clients often think if they have a Medicare Advantage plan, that they no longer have Medicare.
That is false!
Parts A and B are required to enroll in Medicare Advantage.
The difference is that once your client is enrolled in Medicare Advantage, the private insurance company becomes the primary payor instead of the Medicare program and assumes the liability of paying the Part A and Part B covered services. This was a way for Medicare to cut spending and transfer the patient liability to the private insurance companies. This transfer of liability is why you see some plans offering additional benefits such as dental, vision, hearing and wellness. Its the private insurance companies best interest to keep their policy holders healthy in order maintain acceptable loss ratios.
Can You Cross Sell
DD: When we look at new Medicare Advantage clients, ones that we found or wrote from maybe one of these referral partners, whats the guidelines on cross selling business to them?
The reason I ask is some people might be thinking, Oh, I could build a book of Medicare Advantage clients from scratch and then I can cross sell other things like life products, annuities, etc.
Can you speak on that as far as compliance issue and if thats something thats acceptable?
LM: If a referral is given to you wait for them to contact you. At the doctors offices I go to every single month I leave a stack of cards and tell them to contact me.
I dont want the doctor to give me the name because I dont have permission to contact them.
I tell the doctor, Here, give them my card, have them call me, have them email me. So have them contact you. Thats the best way to get a referral.
Then as far as working your book of business, I love working my book of business.
Reminder: You Can Sell Supplements All Year Long
MEDICARE | March 14, 2017
A lot of the agents we work with at AHCP sell both individual and Medicare products. While they may have originally focused their attention on one of these two market segments, they realized somewhere along the way that theres a lot of overlap in the way the products are sold. Agents who are successful selling individual health plans, for instance, catch on pretty quickly when they make the decision to sell Medicare Advantage and Part D plans, and vice versa.
To illustrate, lets compare subsidized Marketplace plans with Medicare Advantage plans. For both products, theres an annual open enrollment period when people can sign up or make changes to their coverage and then special enrollment opportunities throughout the year for those who qualify. Theres also a government-run web portal where agents can compare the available options before making a recommendation to their clients. With one exception for Medicare Advantage plans, both products are guaranteed issue and members are not required to answer medical questions. And finally, in both cases the government pays a portion of the premium, meaning that that the net cost to the member is a lot less.
P.S. We know youre not really sitting around twiddling your thumbs or watching the clock, but we also know that a lot of agents sell a lot less during this time of the year. At AHCP, wed like to help you change that.
Easy To Start Selling
Medicare Supplement plans do not have an enrollment period like AEP is to Medicare Advantage plans. You can sell Medicare Supplement coverage all year round and they do not require annual certifications and training. With no red tape or set enrollment period, you could get the ball rolling today and be earning commissions in no time!
Recommended Reading: Does Medicare Pay For Cpap Cleaner Machine
What Type Of Senior Market Products Will I Need
As an independent agent serving the Medicare Supplement market youll have numerous product options to pick from including a broad range ofMedicare Supplement Products, Medicare Advantage products , Prescription Drug Plans andAncillary Products, but in the end your portfolio will bedictated by your territoryand to some extent, your sales model.
To suit your territory best youll need a product that is available, competitive, and serves your customers preferences and best interests.
of our seasoned marketersto find out what products are performing well in your area.
The Door Has Been Opened
In short, selling Medicare insurance is one of the best markets you can join, offering multiple pathways for income and success. By finding the right FMO and committing to a solid strategy, your goals as an independent agent will materialize swimmingly.
But its important to remember that selling someone a worthwhile plan or supplemental is more than making a sale. As a medicare insurance agent, you do essential work ensuring others stay healthy during increasingly unsettling times.
There will always be a need for Medicare insurance, and thus for a great Medicare insurance agent. By following these tips, you can transform your brokerage and succeed as an independent insurance agent. All while helping to make the world a more medically secure place!
Jeffrey Child is an insurance and tax professional at Podium, the leading messaging platform that connects financial service businesses with their members and prospects.
Read Also: Do You Pay For Medicare After 65
Why Sell Medicare Advantage
DD: Explain to agents what the opportunity is in selling Medicare Advantage plans to clients?
Why would an agent want to consider operating in this particular niche?
LM: Right now the latest statistics show that there are 10,000 seniors a day turning 65. Most of these seniors need coverage outside of Original Medicare.
Youll have military folks with TRICARE, youll have some seniors that work for a company or government position offering health benefits in retirement.
But outside of that, youll have seniors enrolling in Medicare, needing to find a plan. Thats 10,000 seniors a day that need help!
The problem is that there are so many Medicare Advantage plans that they can enroll in!
Will Agents Get Eliminated By Artificial Intelligence Or An Amazon
DD: And thats a good point to bring up. Its 2020. Amazon has destroyed the mom and pop retailer, Walmart did too before that. Are you concerned at all with a risk of say AI, or some big name coming into the business and gobbling up market share and making your job harder? What do you think about the future of insurance agents?
EG: No. For life insurance, youve got the Policy Genius. There are guys out there thats rely on automation. I know that with Medicare theyve got call centers. Thats one of the questions I asked there in my needs assessment, is how did you get this? And where, and when? Because I want to know.
Sure youre always going to have those people. If they do automate it somehow where they can click a button and its taken care of next day, or whatever, sure. Youre always going to have those people who think theyre avoiding getting sold or whatever it may be. Youre always going to have those people in whatever industry.
Medicare Clients Prefer Human Assistance
But no, at the end of the day, these people, especially the ones over 65, they dont want to depend on technology. They dont want to make a mistake. They understand its their health insurance. And one mistake could cost them hundreds of thousands of dollars.
So, no, I dont believe that. Im not nervous at least that anybodys going to come in here and develop some sort of technology thats really just going to take it all away from us.
Face To Face Will Always Exist Despite New Technology
Read Also: Does Medicare Cover Mammograms After Age 70
Is Selling Medicare Lucrative
Most jobs have limits on how much a person can earn.
Exceptions include professional athletes, movie stars, musicians, and other celebrities. Those types of careers sometimes have no salary cap, but most jobs do have a ceiling.
The good news is that your chosen field in the insurance business is one where you can make as much as you want. There are no caps.
Originally published April 15, 2014. Updated December 21, 2020 with expanded information about how lucrative Medicare sales can be.
I know some producers who are barely making their rent payments, and others who are making several million dollars per year. So yes, selling Medicare products can be very lucrative. But ultimately, your income is up to you.
Here are some things I’ve learned over decades in the senior insurance business.
Medicare Agents Get Paid
- A commission thats build into the product pricing.
- Generally there are first year amounts and renewal payments.
- Insurance premiums are set, agents can offer a better deal.
- Commissions are set by the insurance company.
- Sometimes additional monies may be paid.
- Commissions are for agent income as well as to cover expenses.
- Agents often pay all their own expenses .
- Amounts vary by product .
- Prescription Drug Plans typically pay very little.
- Commission amounts are not disclosed.
Read Also: How Do I Apply For Medicare In Missouri
Know The Senior Insurance Market
If youre not familiar with the senior market, its a good idea to learn about seniors needs before you begin haphazardly selling insurance products. This is the most seasoned demographic youll ever sell insurance to, so using gimmicks will likely not pan out as easily as it would with a young person.
Medigap plans only make sense if you first get an idea of the kinds of care seniors require and the costs involved. Otherwise, you wont know what Medicare doesnt cover, and if the prospect senses you dont understand their predicament, they wont buy insurance from you. There are ancillary insurance products, which your prospect may or may not need. Do not try to sell your client something just because it exists and youre thirsty for a sale. You need to know your client and not make assumptions about their budget.
For instance, if you know a client is under continuous care and qualifies for Original Medicare, you may or may not want to sell them the indemnity insurance, a fee-for-service plan which would be very expensive and hassle as a primary plan. However, this kind of insurance is excellent as a complementary plan with Medicare, if your client can afford it or if they have lots of out-of-pocket costs not covered by Original Medicare .
Creating genuine relationships when marketing to seniors is crucial, and itll take time and effort on your part to sell more Medicare policies.
The Ultimate Guide To Selling Medicare Advantage Plans
Are you interested in selling Medicare Advantage plans successfully?
Do you want to discover how to make a long-term career out of Medicare Advantage sales?
If so, youve found the right article!
Today, I interview 10-year Medicare Advantage sales veteran and agent trainer Luis Moreno.
If youre thinking about jumping into selling insurance, this interview explains how the Medicare Advantage sales opportunity works.
Luis answers many often-ask questions as it relates to selling Medicare insurance successfully.
NOTE: Are you an aspiring or new insurance agent looking for more insight on how the insurance sales industry works? Check out my free New Insurance Agent Resource Guide to help answer many of your questions .
For ease of navigation, use the links below to jump to the parts of the article most intriguing to you.:
Also Check: What Age Does Medicare Take Effect
Discover Fresh Ways To Market & Sell Medicare Supplement Plans
Have some experience with selling Medigap plans? Hows your closing rate? Inside the guide, we share multiple tried and true strategies for targeting ideal Medicare Supplement clients, marketing your services online and offline, narrowing down the right plan, pitching it, and more. You can trust our methods work weve used them to help us become one of the leading national senior market field marketing organizations out there today!
The Medicare Sales Process For The Insurance Agent
The key to a lucrative venture in the Medicare market is a solid sales strategy, and this requires knowing your demographics. Knowledge will help you meet your clients needs and establish lasting relations that are crucial for all agents in medicare sales.
You must then decide how you will sell to clients: will you visitface-to-face or through electronic communications? Which method you choose depends on your individual marketing style, but you must know your medicare audience regardless of medium.
Selling to the senior market, for example, often requires a marketing approach that is more to the point and rooted in honesty. Seniors have seen evolve over decades thus, forgo elusive tactics your medicare clients will be more compelled by sincerity.
While Medicare is marketed primarily to the over-65, there are other demographics that are eligible for coverage whom you should accommodate. This includes persons under 65 receiving SSDI or diagnosed with kidney failure, and they need appropriate consideration and coverage, too.
No matter who you are selling medicare to, be your clients advocate and well-versed in what you sell Medicare. If youre only there to make sales, people notice, and youll leave empty-handed but if you show that you care, they will too and you will make that medicare sale.
Is This For You
Being an insurance agent isnt for everyone. However, for some, the job is just right for them. Whether you have the proper training behind you or the perfect charisma, undertaking this career can be a lucrative move to make.
The salaries of Medicare insurance agents vary greatly depending on whether you have an effective marketing plan and how long youve been in the business. Hopefully, the above has indicated the potentially lucrative nature of this career.
If you would like to find out more about how to kickstart your new career, contact us today. Our friendly team will happily point you in the right direction!
About Kenny And Ethan Of Medicare Millennials
DD : Thanks for being here guys. If my audience hasnt seen any of your work on YouTube, Kenny and Ethan, why dont you tell us a little bit about yourselves and then well jump right in.
If you cant tell by the name, we take a lot of pride in being young agents. We think thats a big need in this industry right now.
Were here in the Dallas-Fort Worth area and all very, very focused on Medicare, although we do some other things as well. Ethan.
EG : Of course, were in the DFW market. Like Kenny said, weve been attacking Medicare for a short amount of time, but we feel like weve found the secret here. And were trying to just share that and get that news out to everybody. Spread the good word.
DD: I think itd be useful to explain your background, because Medicares not the first product in the insurance business youve sold. Youve worked your way into this.
And I think, it probably leads you to have a unique perspective on answering the question if selling Medicare is a lucrative business or not. So briefly describe how you got to this point where your focus and specialty is Medicare.
You May Like: Does Aetna Medicare Cover Eye Exams
Key Takeaways In This Article
- Selling over the phone is a viable option that should be considered to save time and effectively provide value to your client while increasing revenue.
- As technology continues to be utilized face to face is becoming less important and value being delivered is increasing.
- Be punctual, call on time and be professional. Build meaningful relationships with your clients.
- Establish yourself with a partner that can help you gain experience with Medicare supplement phone sales.
Medicare Licenses And Training
Medicare Advantage is a great line to sell, whether you’re a newcomer to selling insurance or an experienced insurance professional looking to diversify your portfolio. But no matter how much experience you have, you need proper Medicare insurance sales agent training to complete the certification process.
You May Like: Does Medicare Pay For Dental Cleaning
What Is An Independent Medicare Sales Agent
An independent insurance agent represents many insurance companies. However, there are some captive agencies that broker multiple products, so its important to shop around before making a decision.
Independent Medicare Supplement contracts are accessed through various insurance marketing organizations:
- Insurance Marketing Organization
- Managing General Agent
- General Agent
These organizations will not only provide you access to represent the best Medicare Supplement plans, but theyll also connect you with the best Medicare Supplement lead companies.
As an independent Medicare agent, you are responsible for paying for your own leads as well as all other operating costs and managing the day-to-day operations of your business.
Important: More responsibility means more commissions.
I started as a captive agent and transitioned to the independent side. Yes, I gave up renewals, but I saw it as a training cost to move my career forward.
Looking back, I wouldnt change a thing.