Friday, November 17, 2017

Some Thoughts on ObamaComp

Although I'm no longer actively working in this market, I do get the various carrier updates and contractual changes. Yesterday's mail brought this from Evolent (to which I'm connected via what used to be Premier Health Insurance):

"On behalf of Premier Health Plan, Evolent Health would like to thank you for your relationship ... it is necessary to amend [your contract]."

Regular readers already know where this is heading, but I think this may be instructive as to why I received a particular phone call yesterday:

 
[click to embiggen]

I would estimate that it takes at least a good hour (likely more, plus service time after the sale) to do a decent job for a client, even when there are so few choices still left. And of course, there's overhead and the like, so that $5 is quickly eaten up.

And once again I would ask: will their rates be lowered to reflect the decreased comp?

(Spoiler Alert: Not likely)

Oh, about that phone call?

Well, I was the third or fourth agent she'd contacted about health insurance for her son and daughter-in-law. They're currently with CareSource (which is primarily a Medicaid carrier, but has branched out into the "commercial" arena, as well). The county in which they live currently has these health insurance choices: CareSource. Since they don't use agents, there's no incentive for anyone to sell them. Which is why the poor lady was so frustrated.

And who can blame her?

Oh, did I mention the almost 100% rate decrease increase?

Insult and injury, ObamaCare is thy name.
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