In early December, we visited a veteran Health Insurance agent who was just finding out that an 85 life group he represented was being pulled back into its National HQ corporate major medical program because the Michigan operation had recently received a 50% increase!  I don’t need to tell you that he was bummed about it.

We introduced him to Medical GAP insurance.  We explained that by raising deductibles, and inserting medical GAP insurance, we could eliminate most of the 50%!! rate increase his group just received.  Also, we could eliminate the employees’ $500 deductibles and $1500 coinsurance for most in-patient hospital and outpatient surgical services as well!

Sure, he could have suggested “wrapping” his group with a high deductible instead of buying GAP insurance.  But, his client had already told him that they didn’t want to “buy risk” (wrapping); instead they wanted to “buy protection” (insurance).

Within 24 hours, we had created 3 winning GAP proposals  for him and his client.  We have included them here for you.  Click here   Options-Groupsaver.pdf

(the clients’ name has been changed for this newsletter). 

This client had 3 different suffices with renewal premiums totaling $51,015.42.  We presented 3 different options:  Simply Blue HRA 4,000 + $8k GAP; Simply Blue HRA 2,500 + $10k GAP; Community Blue 15/20 + $10k GAP.  Each plan saved substantial dollars over the 2011 renewal.

In the end, the client chose the Simply Blue 4000 + 8k GAP, Critical Illness and Accidental Injury.  The client saved $141,854.52 over its 2011 renewal!!  They remained here with our Agent (who earned $27,625 in GAP commissions!) and Blue Cross.  A victory for everyone!

So, I write to you this evening to remind you that, even though you may have heard that GAP insurance is DOA, nothing can be further from the truth.  The reality is:  Health Insurance commissions are dropping, premiums continue to rise, and everyone needs to diversify their revenue streams.  The reality is: You need new tools to help you prospect, sell and retain more clients!

Medical GAP insurance is the door opener for Voluntary worksite benefits we will all be selling in the coming years.  Let Chelten Benefits Group  help you and your clients bring premiums down, eliminate most employee deductibles, and earn more income at the same time.  For a quote or more information, you can reach us on our website at www.CheltenBenefitsgroup.com or by phone at 248-464-6544.