The 2022 plan year is approaching, and if you’re planning on offering Medicare Supplements but not Medicare Advantage products, you may want to rethink your sales strategy.
Next year is shaping up to be the year of Medicare Advantage plans. Here are four reasons why you should start selling Medicare Advantage plans now.
1. 2022 Medicare Advantage Plans Are Stronger Than Ever
We’ve seen some pretty strong Medicare Advantage products in years past, but they don’t compare to the new ones coming to the market. After a year of uncertainty caused by COVID, many carriers are showcasing their stability, expanding into new counties and states and offering innovative benefits to members at an affordable cost!
Plans, Benefits, and Markets to Watch Out For
We’re seeing telehealth changes here to stay and other new/expanded benefits like flex cards (cards to cover expenses like supplemental benefits, groceries and/or utilities), increased Social Needs Benefits, and an expansion of Part D Senior Savings Model Insulin Savings Program offerings. We’re also seeing an increase of Part B giveback plans, and enhanced/expanded dental, vision, hearing, and over-the-counter (OTC) benefits. Particularly hot markets this year include PA (Philadelphia), NY (Metro NYC and Western NY), IL (Chicago), VA, GA, NC, MO (St. Louis), OR, and WA.
We are continuing to review and analyze carrier benefits and markets leading up to the AEP, so we recommend agents reach out to their Ritter Territory Sales Specialist for the latest on their market.
2. Trends Show Medicare Advantage Enrollment Is Continuing to Grow
By looking at past, current, and future Medicare beneficiary data, we can see that enrollments have been trending and will continue to trend toward Medicare Advantage plans. A Medicare Advantage enrollment update report from the Kaiser Family Foundation shows that enrollment in these plans has more than doubled over the last decade — increasing by 2.4 million beneficiaries, or 10 percent, from 2020 to 2021 alone. Currently, the Kaiser Family Foundation puts Medicare Advantage enrollment at more than 26 million people (42 percent of the total Medicare population). And, the Congressional Budget Office estimates that about 51 percent of the total Medicare population will be enrolled in these plans by 2030.
The Congressional Budget Office estimates that about 51 percent of the total Medicare population will be enrolled in these plans by 2030.
The enrollment numbers aren’t just being influenced by major outliers, either. Due to their innovative member benefits and all-in-one, convenient coverage, Medicare Advantage plans have continued to increase in popularity across the U.S. In fact, there are 26 states where a whopping 40 percent of Medicare beneficiaries are currently enrolled in a Medicare Advantage plan. If you aren’t offering these plans now, you’re missing out on a huge market and a wave of sales opportunities!
3. The Opportunity to Better Meet Your Clients’ Needs & Earn More Commissions
Simply put, you’re going to have clients who ask about their options and are interested in a Medicare Advantage plan. You must be ready and able to help them. If you aren’t, another agent certainly will be, and they’ll gladly take the commissions and client relationship from you!
A diverse, full portfolio shows your clients you’re in the business to help them get the best plan for their unique situation, not just to make money. Original Medicare and a Medicare Supplement isn’t the best path forward for all; not everyone can afford Medicare Supplements, and some people just want the convenience of having their benefits tied into one plan. When you offer more options, you cast a wider net for sales and don’t have to turn business away. Plus, the maximum commissions for Medicare Advantage and Part D sales are growing!
When you offer more options, you cast a wider net for sales and don’t have to turn business away.
4. Learning How to Sell Medicare Advantage Is Easy With Our Free Agent Resources!
As a top-of-hierarchy, national field marketing organization that specializes in the senior health insurance market, we aim to make selling Medicare Advantage plans as easy as possible for agents! We’re always creating new materials and tools to help agents learn the ropes and streamline their sales. Check out our existing training and sales resources below!
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From the statistics alone, it’s clear that a growing number of Americans believe Medicare Advantage plans are the preferred option over Original Medicare and a Medicare Supplement. While you may not agree in every situation, as a salesperson, we want you to recognize the importance of offering the plans your clients want, and for 2022 and beyond, we think many of your prospects will want to work with an agent competent in offering Medicare Advantage plans.