Regarding the article Stark calls for cap on Medicare Advantage sales commissions:
Rep. Pete Stark (D-Calif.) must be right along side of Sen. Barack Obama in the tower above the crowd, hidden in the clouds!
Are they really so far removed from the financial benefits the Medicare Advantage Plans provide the majority of seniors that they would jeopardize the distribution system that provides consultation to these beneficiaries by cutting commissions? Is Stark even aware that most beneficiaries save $700 to $1,000 per year with private fee-for-service plans as opposed to the cost of supplemental premiums or original Medicare?
I have never sold or advised anyone to enroll in any plan because it paid more commission, and I would venture that most agents would never do that. Again, our Senate and Congress are trying to find a fall guy and the sales agents are at the bottom of the food chain, so why not pick on them. We earn our money from the carriers by spending a good deal of time to help beneficiaries determine which plan would be most beneficial to them. If he really wants to cut costs, how about one certification test for all companies, one compliance test for all companies, not separate testing requirements for each plan.
The restrictions from the CMS that have been put into place this year will accomplish the goal of reducing the sales commissions because it will force agents out of this line of business, even when the beneficiary roles are increasing. If Medicare or other government agencies could handle the influx of beneficiaries themselves, or if they could do it and still make money at it as the private companies have been able to do, I am sure they would be crowing right now! Instead, they have proven with Medicare and the Social Security Trust and many other areas the federal government is less than fiscally responsible!
I happen to love the Medicare beneficiaries I work with, see most of them a couple of times a yearnot to sell them something, but to continue our relationship. If there are agents out there that churn clients or fraudulently handle beneficiaries, I would suspect they are a very small number and should be dealt with accordingly. Do not assume that all agents are greedy and sneaky and taking advantage of the system.
I have come to believe that the persons pointing fingers, making accusations of theft or mistrust are usually the persons that should, themselves, be mistrusted.
Sandra HoyLegacy Solutions PlusCumming, Ga.
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