The Medicare Improvements for Patients and Providers Act, recently approved by Congress in September, has created quite a stir in the insurance market. The new CMS regulations will no doubt have a large impact on the 2009 selling season and the future of Medicare Advantage plans. Many companies are changing how they structure their Medicare Advantage plans and how agents can market them. Do you know how these changes will affect you?
- Government spending on MA reduced by $12.5 Billion
- PFFS plans required to establish network by 2011
- Quality reporting requirements for PFFS plans
- High MA premiums to cover reduction in spending
- Marketing Reforms- how plans can be marketed and sold
- Expansion of Part D Low Income Programs
- Phase out of Indirect Medical Education Payments
- Growth in Medicare Supplement market
Are you prepared to offer your clients other options to better fit your clients' needs?
Check back frequently to stay educated on updates to the CMS bill and what it means for your business.
Many of our agents have encountered a recent trend of clients seeking out the lowest price at all costs. Although low cost seekers will always exist in the market, the overall marketplace seems to be changing. With over 40 million senior citizens in the Medicare market and an estimated 78 million Baby Boomers turning 65 over the next 15 years, value will trump price!
In order to build quality relationships, we must provide services that are more valuable than our products. Exceptional customer support and our wealth of market experiences are the most valuable services we have. A customer will become an advocate only if you can properly demonstrate the value of your product and services, the best way to demonstrate this value is through education! To convert a prospect into an advocate, you must personalize your product features into benefits that are specific to each of your clients needs. "Eighty-five percent of the value of your product or service, in the mind of the prospect, is going to be contained in the quality of the presentation."
The market has shifted from the service oriented economy of yesterday to the experience oriented economy of today, prospective customers are demanding more of their sales consultants than ever before. To thrive in today’s competitive sales environment, business integrity, quality of service and market specialization will be a must.