Disclaimer: Since Medicaid rules and insurance regulations are updated regularly, past blog posts may not present the most accurate or relevant data. Please contact our office for up-to-date information, strategies, and guidance.
Each day, more than 10,000 people in the U.S. turn 65, and most of them are looking for a trusted advisor to help them navigate the world of Medicare. On the surface, Medicare may seem simple. When you turn 65, you sign up… right? If only it were that easy. In reality, Medicare can be complicated, and most people need someone to guide them.
Read More: Why Medicare Beneficiaries Need a Trusted Advisor
As an advisor, your main priorities are to learn products, assist people, get paid, and, over time, get referrals. Here’s how Medicare can help you achieve these goals.
Becoming Certified in Medicare Products
Medicare has a fairly steep learning curve when you first start, but once you know the products and processes, they don’t change often or quickly. Each year, you must complete annual certifications (in most cases) to continue selling Medicare products, which will always highlight any changes and give you insights on upcoming products.
The Krause Agency is here to assist and guide agents like you with product onboarding and case consultation. We can guide you, at your pace, as you add Medicare products to your business. As an agent, you can add these products slowly or dive in headfirst. We provide training, product recommendations for your business area, and resources to help you be a trusted Medicare advisor for your clients.
Income from Medicare Commissions
In addition to doing the best for your client, we also understand you need to make money. While Medicare isn’t a get-rich-quick type of sale, it can easily turn into a nice residual stream of income over time. On average, one Medicare Supplement will earn you about $330 per year for 5-6 years, bringing your total to about $1,650 per enrollee. Medicare Advantage plans will earn you about $600 or so the first year (this changes each year) and $300 or so for each year after as long as the plan is in place. If the enrollee keeps the plan for five years, that comes to about $1,800 per enrollee.
Please note that commissions vary by state, product, carrier, and type of enrollment.
Medicare products do not require a hard sell. The majority of Medicare beneficiaries need a plan in addition to Original Medicare, and if you guide them through the process, you will probably write the policy. In most cases, there is no underwriting, and payments are typically made directly to the carrier or paid by the client’s Social Security account. Most agents can have the application written and submitted after just one (possibly two) meetings lasting about 60-90 minutes each per client.
Read More: Why Sell Medicare Products?
Review Medicare Plans Annually
Each year, it’s important to do an annual review of your client’s plans and, if necessary, change their plan. This will build your rapport with clients and help retain your business. Additionally, Medicare beneficiaries are quick to tell their friends when they have someone they trust. You will find that, over time, you will have a strong and steady stream of referrals coming your way. While some may come to you for advice on Medicare, they may also benefit from the other services you offer.
If you are looking to add a product that will produce a steady stream of residual income and strong referrals over time, Medicare may be right for your business. We invite you to schedule a call, so we can provide a consultation and get you started on your journey to be a trusted Medicare advisor.
