Ancillary Sales

Resolving Sales Allegations – Ep. 23

Episode 23 goes over an agent’s worst nightmare… sales allegations! Hopefully, you never have to deal with sales allegations, but if you do, don’t start sweating yet. Through this podcast, you will learn what to expect if you get a sales allegation. What exactly does it mean if you receive one? What’s the process? How do you make sure you don’t receive one in the future? How do you make the process go smoothly and quickly? Our Queen of Compliance, Gina Angelo, has all the answers! 

Also, we talk about the Presidential election that is just around the corner and what the polls are telling us when it comes to Medicare for All. How do voters feel about it? What does this mean for the future of our industry? We’ll go over the numbers and give you a starting point for your own research before you have to pick a candidate!

Podcast Episode 23 – Resolving Sales Allegations Transcription:

Disruptive Waves [01:00] :

Jessica: Happy New Year everyone!!! This is our first podcast in the new year and we are pumped for what is to come this year for Selling SMART. 2020 is going to be AMAZING! 

Sarah: Yes SO MUCH is going to happen this year I can feel it! And one of the big things that we all KNOW is going to happen is the Presidential election. 

Jessica: This is true, and as we all know, healthcare is a huge topic of discussion going into these primaries and debates. 

Sarah: Which is why we feel like it’s important to update you on some recent polls that have been conducted by Kaiser Health News and a few others. Obviously, polls change all the time. The article that we found on Kaiser Health News discussing these polls was published on December 3rd, so it’s fairly recent but we know people’s minds change all the time… so just wanna put that disclaimer out there.

Jessica: Yeah, also it may be good to go and check out the article. Kaiser Health News does a really great job of staying impartial and just reporting on the facts, but we know that whenever you’re hearing statistics and numbers, it’s always good to double-check your resources. We’ve gone ahead and made sure that they were legit and there wasn’t any kind of bias, but we’re human so we want to encourage you to use this information as a starting point to your own research to come to your own conclusion of these topics.

Sarah: Yes that is definitely a good idea! And also if any of you know the history of Kaiser I think it’s also good to let you know that we did some digging to see what their relationship with Kaiser Permanente and Kaiser Industries. Because when we first found the article, we were a little concerned that their relationship with those entities could make them biased. BUT! We found that in 1985 Kaiser Health News separated from Kaiser Permanente/Kaiser Industries and now their only tie is that one of the family members gets to serve on the board of Kaiser Health News.

Jessica: Right, so that’s also good to know. And if you want to go find the article yourself to do further digging it’s on the Kaiser Health News website and it’s called “Candidates Are Betting Big On Health. Is That What Voters Really Want?” and it was written by Julie Rovner.

Sarah: So now that we got all of that out of the way, let’s talk about what’s actually in this article.

Jessica: Yes! So obviously health care is a top issue for voters during this 2020 Democratic presidential primary race. Kaiser’s Family Foundation found in their latest tracking poll that 24% of Democrats and Democratic-leaning independents said that they want to hear candidates discuss health care. That number is twice the total for the next top issue which is climate change and four times the total for immigration which is the number three issue. 

Sarah: So it’s clear that health care is very important to voters, but the question that still remains is whether that interest is going to reward a candidate that backs up the “Medicare for All” type of plan or a relatively more modest plan like a public option where a person can voluntarily join a government health insurance plan.

Jessica: And based on conversations you’ve had and people you’ve discussed this topic with, you may have an answer in your mind of what you think voters want. However, the poll numbers didn’t conclude with a clear answer.

Sarah: Right, so on one hand, Democratic and Democratic-leaning respondents in the Kaiser Family Foundation poll said that when it comes to health care, the candidate they would trust the most is Bernie Sanders, who (as many of you know) has been pushing for a Medicare for All plan.

Jessica: Here’s whats a little confusing though. Those SAME people say that they prefer a public option, which is not what Bernie Sanders is pulling for. 

Sarah: Nope. Not at all. That’s what Joe Biden has been wanting. 

Jessica: Yeah, so I think it’s safe to say that’s NOT what many people would expect the polls to conclude. 

Sarah: So also, in a separate poll done by Quinnipiac University, 36% of respondents said that Medicare for All is a good idea while 52% say it’s a bad idea.

Jessica: And a NBC/Wall Street Journal poll from September found similar results with 67% of respondents saying they would support allowing people under the age of 65 to “buy their health coverage through the Medicare program,” while only 41% favored “adopting Medicare for All, a single-payer health care system in which private health insurance would be eliminated.” 

Sarah: Yeah so with that being said, people’s opinions may change between now and the primaries, but these are interesting numbers. 

Jessica: For sure! It will be very interesting to see what happens. Especially since this is the industry we work in and these are pretty major changes that they are talking about. So it’s very possible that this will have a huge effect on us and our every day lives.

Sarah: Right, so definitely do some more research, figure out what every candidate is proposing and be an educated voter!

All Aboard the Knowledge Train [09 :10] :

Jessica: So we are super happy to have our Queen of Compliance, Gina Angelo, on the podcast today! Gina, would you mind just giving us a brief overview of who you are and what exactly your position at SMA entails? 

Gina: So my actual title is SR Compliance Manager- though Queen of Compliance does have a really nice ring to it. Anyway, what I do actually has a number of sides to it when you think of compliance- it’s part sales, part marketing, part corporate, and part workforce. So for the sales side, I ensure I’m an outlet for compliant sales activity for our organization and all the thousands of our downstream agents and brokers. For marketing, I make sure ALL of our formats are being delivered in a way that’s compliant with all guidelines. From a corporate level, I have to see to it that the organization fulfills all obligations on a Federal, multi-state, and carrier relationship level. And in regard to the workforce- I create, deliver, and document all compliance training for all of our employees. I also create and enforce all of our Compliance Policies and Procedures.

Sarah: That’s awesome Gina! We’re happy to have someone like you keeping us all out of jail haha. So let’s just start with the basics in case we have some new agents listening. What exactly are sales allegations? 

Gina: A sales allegation is essentially an inquiry that is opened due to potential sales misrepresentation. Sometimes they can be called by a different name, such as a “grievance”, “investigation”, or “complaint”. They can really come from anywhere, such as from a bene or a member of their family, other sales agents, the Department of Insurance, or directly from CMS. And that’s just a few examples. One thing I will say as someone who’s previously worked in both sales and service directly with a national carrier is that many allegations are prompted based on a call from the beneficiary and are automatic. So if any type of dissatisfaction is noted, in order to make a certain action possible for the bene to resolve their issue, it prompts the inquiry based on what the service rep is told as the order of events. So often the allegations come back as unfounded/unsubstantiated.

Jessica: So obviously a big part of your job is dealing with these sales allegations and I know that is a very scary topic for agents. First of all, you’re kinda getting in trouble so no one likes that, but then I also think it’s scary because agents aren’t entirely sure what the process looks like. Would you be able to take us through that whole process?

Gina: So first I’m going to point right back to what I just said as to WHY the allegations often happen. Anyway, when the case is first opened the carrier’s compliance oversight team will perform an investigation. They usually send out a questionnaire- now sometimes this will be straight to the agent, to both the agent and also to me, or just to me so that I alert the agent of the matter and ask for their response. Now, you have to remember that these are TIME SENSITIVE- so you will have to provide your response and all supporting information within a short period of time, sometimes in as little as 24 hours. Some of the additional info you’ll need will be things like the bene application, the Scope of Appointment, any notes, drug lists or provider searches, or recorded calls. 

Sarah: What would be your advice to an agent if they get a sales allegation?

Gina: REMAIN CALM! Also, please don’t be argumentative- just cooperate. The more you resist and argue, the worse things will be for you, I promise. It reflects very badly on your part. If you feel there has been a misunderstanding, then you can state that in the additional notes or comments section of the response form, but definitely fill in ALL of the other portions of the questionnaire and absolutely DO NOT use an arrogant or hostile tone. Some results of these investigations are additional remediation, suspension, and even termination. Tread carefully.

Jessica: And what are some ways that they can make the process easier for you and run super smoothly so that it’s resolved as quickly and efficiently as possible?

Gina: All those things I just said. Retain your notes (securely of course) and just COOPERATE.

Sarah: Are there certain questions that you feel like agents have a lot when it comes to resolving sales allegations? And if so, what are they and what are the answers?

Gina: They like to ask me “why” they’re getting an allegation. Well, since it actually came from another source, I do not have the answer. It is generally an automated process, often spurred by a call to a carrier’s customer service department. If you wish to dig deeper, I can get you in contact with that carrier’s compliance representative who sent me the inquiry, HOWEVER you are still bound by the timeframe requirements. You cannot postpone the inevitable.

Jessica: What steps should an agent take after a sales allegation? 

Gina: Once the response is submitted to the carrier and received by them, the investigation will continue until a conclusion is reached. The time this will take can vary greatly. As soon as the outcome is given back I WILL LET YOU KNOW. There is no reason to email me multiple times a day to ask about it- I promise!!! Once they evaluate it, all allegations generally fall into 3 primary outcomes: founded/substantiated, unfounded/unsubstantiated, and inconclusive.

Jessica: So most of the time are they true then? 

Gina:  Most often, generally outside of AEP, they are unfounded. Immediately after AEP, I do see a bit of an increase with founded and substantiated cases at least percentage-wise of what I receive.

Sarah: What can agents do once the sales allegation has been completely resolved to make sure they don’t have another sales allegation against them in the future? And are there certain resources that they can turn to for guidance? 

Gina: It’s extremely difficult to ensure you never receive another allegation, as there are so many different actions that initiate them on so many different levels. However, after one happens you can work diligently to change the way you approach certain situations and topics, and perhaps adjust the way you do your sales presentations. Also- I am actively working to add more resources on our Storefront related to compliant sales activity- so be sure to keep an eye out for those. Each time a new one is released we try to let everyone know via email and/or social media. Also, you can always send an email to compliance@seniormarketadvisors.com or reach out to your sales contact with us.

Sarah: So a lot of what you have been talking about is related to you actually helping agents resolve these sales allegations. That really relates to agents who are with us at Senior Market Advisors, but what about agents who aren’t with an FMO? Do they go directly through the carrier or what does that look like?

Gina: So if they are already contracted with a carrier, whether it’s through a different FMO or direct with the carrier, they should have respective compliance contacts. However, if they find that they are not getting the compliance help that they need… maybe it’s time to make a switch? 

Sarah: That’s one this SMA helps with, you’ve got Gina Angelo right here to help you out with resolving all of those sales allegations.

Gina: Always here to help!

Jessica: Well this has been awesome, Gina! Thank you so much for sitting down with us and talking about probably one of the most “not fun” things about your job and an agent’s job haha but it’s important so we really appreciate you giving us your advice and insight! 

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The Value of Cross Selling – Ep. 21

In Episode 21, we discuss cross selling! However, we start off by talking about how drones are saving lives! When you think of a drone, what comes to mind? Do you think of healthcare? Maybe not. But a company called Zipline is working to change that! They are using drones to deliver life-saving medical supplies to remote areas in African nations. 

Later in the episode, we welcome Keith Hinson as a guest! He provides us with insight on the value of cross selling. His experience is incredibly helpful and valuable to other agents who want to cross sell! Keith makes it simple and easy to understand what benefits cross selling offers, what to offer to clients when cross selling, and his advise on how to cross sell successfully!

Podcast Episode 21 – The Value of Cross Selling Transcription:

Sarah: Welcome to Episode 21 of Selling SMART with Sarah Smith…

Jessica: And Jessica Vara!

Sarah: In today’s episode we’re coming in hot with DRONES! Yes, you heard right. Drones are saving lives! We will discuss how. We also are going to talk about something you all should be doing when possible, cross selling! Cross selling is really important to increase your sales and build your business. We brought our very own Keith Hinson back on the podcast to break it all down!

Disruptive Waves:

Sarah: So continuing our discussion of some interesting technological advances that are affecting the healthcare space, we are going to talk about drones today! Okay, we all know drones are cool. Kinda scary. But also super cool. Well, drones are now being used to save lives!!

Jessica: We are pretty lucky here in the US, most places at least have the infrastructure to be to transport life-saving materials, even to remote rural areas. But other countries like Rwanda and Ghana, aren’t always so lucky. Currently, they don’t have the necessary infrastructure to allow for access to remote health centers. Some of these health centers only receive medical supply deliveries twice a year. But a company called Zipline is working to change that!

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Sarah: Zipline manufactures drones in California and then stations them at distribution centers in the African nations of Rwanda and Ghana. They hope to expand into other developing nations as well! Basically, their goal is to deliver life-saving medicines and other medical products to remote areas that don’t have the infrastructure in place to receive deliveries any other way. So they probably just don’t have the road access but what’s awesome is that Zipline drones fly without a pilot and are able to fly over mountains and rivers so the local communities don’t need to have roads in order to receive medical deliveries!

Jessica: What’s really cool is that the doctors in these remote locations can request deliveries via an app! These drones can fly rain or shine and they’re now supporting hundreds of deliveries per day! 

Sarah: Yeah and in places where it used to take over 5 hours for medical supplies to arrive, now can only take 30 minutes with a Zipline drone delivery! That can be the difference between life and death for someone in critical condition so it’s so awesome!

Jessica: Yeah this just shows the power of technology in today’s world. It’s so amazing that people are using drones for good!

Sarah: Yeah I feel like I typically think of drones as either a military thing or just for fun to fly around your neighborhood and take photos so it’s really cool to see drones being used to save lives!

All Aboard the Knowledge Train:

Jessica: Today we are lucky to have one of our own, Keith Hinson on the podcast! He is going to talk to us about the value of cross selling, how you can be doing it and why it’s so important!! First Keith, would you mind giving us a little background about yourself?

Keith: My name is Keith Hinson and I am the Vice President of Life and Ancillary Sales here at Senior Market Advisors. The way I got into the insurance business was that I was actually educated to be an engineer and I was working a graveyard shift sitting at my desk and I realized that it was not the way I wanted to spend my working life. So I did research and figured that insurance would be profitable and a good fit for my life so 20 years later this is where I find myself. Couple fun facts: I’m an eagle scout and I’m a three-time iron distance tri-athlete.

Sarah: Okay so cross selling is that simple right. Can you just talk about the basics of cross selling and what products you would be cross selling?

Keith: 

  1. What is cross selling?  At its core cross selling is selling complementary products that pair well with the original product or additional products that were uncovered during your fact finding process.
  2. As an example, for the senior market, these products may include products such as Dental, Vision, HIP, Home Health, Cancer, etc.  All of which pair with with Medicare plans or specific needs that would be uncovered during the fact finding process.

Jessica: How does cross selling help grow your business?

Keith: I believe that cross selling as part of your daily activity is important for four main reasons..

  1. First and foremost, it’s the right thing to do for your clients. – educate them
  2. Book Diversity
  3. Money – Marketing is expensive – at least expect to double your income at 1 out of 4
  4. Retention – Limra Study 3+

Sarah: Okay so there are a lot of compliance concerns around cross selling. Even the word cross selling makes some agents feel uneasy. Can you just talk a bit about what you can and can’t do and how to make sure you’re compliant?

Keith: The easiest way to answer that question is to make sure that anything you discuss  has been initialed on the scope. Dental, Vision, Supp, MA, Indemnity, Part D (exclude life, DI, LTC, etc.)

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Jessica: Are there certain products that pair well together and should be sold together if possible?

Keith:There are several plans that pair well together.  As an example:

Supp, Part D, Dental, Vision

MA, HIP, Cancer – OOO, Part B Cost with Chemo, Part D cost

Sarah: What is the best advice you can give an agent who decides to go ahead with cross selling?

Keith: My advice is pretty simple.  

  1. Have a plan/presentation and know your products
  2. Present the options every time
  3. Do it consistently.  Not everyone will buy and you have to polish your presentation

Make sure to tune in for an extra funny segment of Ending on a Positive Note with Jessica and Paxton! You don’t want to miss it.

Sarah: If you want to learn more about how Senior Market Advisors can be your home for success this AEP, give us a call at 844-334-6066. If you want to be featured on the podcast, visit www.seniormarketadvisors.com/podcast and click on the button that says “Share Your Story.” 

Sarah: Want more Medicare sales related content? Follow Senior Market Advisors on Facebook, Instagram, and Twitter – links in the description. We post new episodes every other Friday so make sure to follow and like us to stay up to date with all the newest content! If you’re liking our podcast, share our posts with the hashtag SELLING SMART to be entered to win an Amazon Echo Dot! 

Jessica: We appreciate you joining us this week on Selling SMART 

Sarah: with Senior Market Advisors! 

Selling Final Expense – Ep. 6

We begin Episode 6 with a quick overview of the changes that CMS has made to the policies surrounding Medicare Part D plans. The Opioid Crisis has affected the entire country, including Medicare beneficiaries. CMS recognized opioid abuse within the Medicare-eligible population and has updated their policies to combat it. We spend the first few minutes of this episode discussing those changes.

The rest of the podcast dives deep into Final Expense! We bring our own Keith Hinson back for his second appearance on the podcast to go over the basics of Final Expense. He touches on what Final Expense is and all the reasons you should be selling it. This includes simplicity, limited underwriting, upfront money, fewer compliance concerns, and more! Keith also goes over all the different types of Final Expense plans.  

If you’re not currently selling Final Expense and are considering it, this podcast is for you! This is a wonderful introduction to Final Expense and why you should be selling it. If you want to learn more about selling Final Expense, you can give Keith Hinson a call at 615-944-3300 or email him at khinson@seniormarketadvisors.com.

Why Sell Final Expense – Ep. 6 Full Transcript

Sarah: Hello and welcome to episode 6 of Selling SMART with Senior Market Advisors! Today we will be going over recent changes regarding the opioid crisis and how they affect Medicare beneficiaries and then we bring on Keith Hinson to take a deep dive into the basics of Final Expense and why you should be selling it! 

Sarah: Alright everyone we are so excited to have Keith Hinson on the podcast today. He’s actually been on the podcast before so this is his second time on the podcast so welcome Keith! Can you just give us a little background on yourself?

Keith: Thank you Sarah. My name is Keith Hinson and I’m the VP of Life & Ancillary Sales at Senior Market Advisors. A little background on myself, I’ve been in the insurance business for 20 years.

Sarah: Thanks so much Keith!

Disruptive Waves:

Jessica: We wanted to start today off by talking about how the opioid crisis is changing the policies for Medicare Part D plans. By now you likely have heard about how many individuals in the country are affected by the opioid crisis, and this includes Medicare beneficiaries. 

Sarah: It’s hard to find someone these days who hasn’t been affected, I know my cousin was in and out of rehab for prescription opioid abuse for years and is luckily clean now. But it was hard to watch her go through that.

Jessica: Yeah it’s nice that CMS is doing what they can to try and help.

Sarah: So CMS released a blog on their website last month discussing the policies they have put in place to combat this issue so we will be breaking that down for you today. Since Medicare covers a significant portion of prescription opioids, we feel it’s important to go through some of these changes so you are aware. 

Jessica: Please note that these policies are not a one size fits all approach and they do not apply to long-term care facility residents, beneficiaries in hospice or other end-of-life care, or beneficiaries being treated for cancer-related pain.

Sarah: Medicare drug plans will now need to send pharmacies alerts to review certain opioid prescriptions before they are filled. This could happen in cases like:

  • The beneficiary is prescribed an amount that exceeds a certain amount,
  • This is the first time the beneficiary is prescribed the opioid. They may be limited to a 7-day supply or less if it’s a new prescription
  • Or the beneficiary is prescribed both opioids and benzodiazepines at the same time as they can be dangerous when taken together.

If the prescription is unable to be filled as written, the pharmacist will give the beneficiary a notice to contact their plan for a “coverage determination” to see if the plan will cover the drug.

Jessica: As an agent, make sure you are aware of these changes and do your part to help beneficiaries get the right plan for their needs.

All Aboard the Knowledge Train:

Sarah: Alright so today we are going to be going over why you should be selling final expense. As we mentioned, we have our very own Keith Hinson on the podcast today to share his expertise on this topic.

Let’s start off with the most basic question, why should someone sell final expense?

Keith: Well Sarah, there’s lots of reasons that come to mind when we’re talking about the different reasons you’d want to sell final expense.

The first thing I want to touch on is that when we’re new in the industry, all this information can be thrown at you and it can be overwhelming. So the first reason is that it’s simple. It’s just not hard to understand. So if you’re new in the industry and looking for a way to get started, final expense allows you to get up and running really quickly so that would be the first reason.

The second reason is limited underwriting, especially as a new agent, underwriting can be a little bit daunting. When you’re getting out into fully underwritten cases, you don’t know which health conditions to look for and you end up submitting a lot of business that in turn gets kicked back and you do a lot of work that you might not have to so with final expense, there’s very limited underwriting. In fact, some of them don’t have any underwriting. So it takes a lot of that learning curve at bay while you’re developing your skill set but you still have the ability to make some money.

And another reason is not necessarily an agent reason but the consumer. There are some people that want life insurance but maybe they have some health concerns and they don’t think they can get through that traditional underwriting that I mentioned. Maybe they don’t need very much. You know there’s lots of people that get life insurance or final expense policies that maybe they’re only 5 or 10 thousand dollars. And a traditional fully underwritten life plan – most of them will have a limit of about 100,000. There are people like myself, I just hate needles and I will pay a little bit more so you don’t have to come out and stick me. So that’s a good reason also.

Another reason is upfront money. Now not all the time, but a good percentage of the time dependant upon your contract, you get your entire or a big portion of your commission upfront. And since final expense, the majority of your commission will be paid out in the first year, that can help with your cash flow circumstances when you’re getting started in the industry.

Another great reason for final expense is compliance concerns. If you’re in the insurance space depending on what your concentration is, if you’re dealing with the MA space or the Part D drug plan space, you’re heavily regulated by CMS. With final expense you don’t have those constraints. Now what that means is you’re allowed to reach out and contact people directly, you can walk up to them and you can ask them about final expense. When you’re in the house and you finish the presentation, you’re actually allowed to directly ask for referrals which can help grow your business quickly as well.

Another reason, final expense is easy to cross-sell. It pairs well with a variety of senior products. On the MA side of the business and CMS, you can’t sell final expense while you’re on an MA appointment but excluding that, you’re allowed to put a cancer plan with final expense. If they already have a supplement plan, maybe you go out and tell them final expense will pair well with that. So it’s just a good way to either market your existing book or just a good thing to tie together with all the other products you’re selling.   

And then lastly and at least for our company whose mission is to serve the underserved, it fills a valuable need. A lot of individuals that you’ll be out talking about final expense with are those who will need it most. So when that time comes they will be able to make sure that those final expenses are taken care of. And some individuals even choose to leave a small legacy. 

Sarah: Wow! That was a lot of great information. I definitely see there are a ton of reasons to be selling final expense! Thank you so much Keith!

Okay so let’s just go back to the very basics for those of us who don’t have any background on what final expense is, can you just briefly touch on… what is final expense?

Keith: Absolutely, final expense is really just that. It’s to help you cover any of your final expenses. Some people may have heard it referred to as a burial policy but let’s not get caught up in the term burial policy. Individuals have lots of other needs than just being buried in the end. Sometimes you may want to leave a legacy to a child or grandchild, you may have unpaid bills. Maybe there are other expenses other than burial, you want to fly people in from out of town. But in the end, that’s really what it is. To take care of bills when we reach our end of life so our loved ones don’t have to foot or incur those expenses.

Sarah: So is there only one type of final expense or is there different types that agents can be selling?

Keith: Let me do the best I can to breakdown the different types. Not all carriers will offer all types but you’ll at least know what’s available out in the market. 

So there’s really four main types. 

  1. There’s what’s called True Guaranteed Issue and for that particular type of plan there are a lot of them with absolutely no medical questions whatsoever. Only thing you really need is their address, name and their banking information and you’re good. Now with those types of plans, whatever the face amount is, if for whatever reason that individuals was to pass in an accident, it will go ahead and pay out the full face amount. However, if they were to pass from anything related to a sickness, usually within the first two years the premiums that you’ve paid in, plus some percent of that money that you’ve paid in. So at a minimum, they’ll end up getting the premiums that they put in plus a little bit.
  2. The next step up from that is known as Modified and this is the beginning of what most people might call “True Final Expense” vs. a Guaranteed Issue Policy. And it’s really the same as a guaranteed issue, really the only difference is that they actually have to answer a few medical questions and they likely will get a better rate at least across the board than what they would do if they had a guaranteed issue policy.     
  3. After Modified, it’s called Graded and basically you just continue to answer more medical questions. So maybe instead of 2 questions or 3 questions, maybe you answer 5 questions. And the way it’s set up, same scenario. If you were to pass from an accident of any type you would go ahead and get the full face amount from day one. But if you were to pass from some type of sickness, the death benefit goes up each year that you have the policy. So just as an example, the first year, if you were to pass from a sickness, maybe you get 30% of the face amount. If you were to pass from year 1 to year 2 you would get 70% of the face amount. And then usually if you get past 2+ years, you’re fine and you’d get the full face amount whether that be for sickness or accident.  
  4. And then the last type is Level which is pretty self-explanatory is called Level or Level-Issue. That’s really the best rate for the final expense category. You still have even more health questions, however you still don’t have an exam or blood work. You basically answer the medical questions and then they may pull some reports from the MIB and maybe a prescription check. But you get the full face amount immediately – sickness or accident. You would have that death benefit available to you next day.  

Sarah: So in listening to what you just said I just thought of a question. You mentioned a bunch of health questions, as you go up the line there is more health questions. If someone is in poor health, is there rate going to go up?

Keith: So final expense is actually set up pretty neat. Most final expense insurance applications will have a single page that has questions and they usually will be segmented out 1, 2, 3 or a, b, c. So you start out in the first section and usually it’s yes/no. If you hit yes, then they don’t qualify for that policy and you would go automatically to a true guaranteed issue policy. If you get all the way to section 2 and check something, you know you would only qualify for the Modified policy. If you get all the way to section 3 and you were to check a health question, then you would be eligible for the graded level plan and if you manage to get through all the health questions you know that you would qualify for the level plan. So it’s really easy to step through the process and know what to sell individuals.

Sarah: So if anyone listening is interested in selling final expense, Keith, how would they contact you or where would they get more information?

Keith: Absolutely! The easiest way, feel free, my direct line is  615-944-3300 or feel free to reach out to me via email at khinson@seniormarketadvisors.com.

Sarah: Awesome. Really good information today Keith. I definitely feel like I understand final expense a little bit better than when we started so hopefully you all listening feel the same way!

Ending on a Positive Note:

Sarah: To end it on a positive note, we had a submission from one of our agents named Michael. Thank you for your submission Michael! We’ll go ahead and read what he wrote. Note that names have been changed for privacy purposes.

Jessica: “I want to share the story of a special client. I represent an I-SNP (this is short for Institutional Special Needs Plan) plan and recently enrolled a client named Stephanie. She has been living in a nursing home for several years even though she is only in her 50’s. You see, she has cerebral palsy. Many things stand out about Stephanie. First, she was worried that going into a nursing home meant that no one would ever visit her anymore. Happily she has found that wasn’t true and her family still visits her on a regular basis. Secondly, she told me that she loves to read  and always has at least one book with her at all times. Three, she is also a writer and poet. She has written over 200 wonderful poems to date and would like to publish them someday but it can cost a lot of money to get published. Finally, and what is most amazing is her smile and spirit. I look forward to driving 1.5 hours to the nursing home just to see her. I thought I was helping her by providing a comprehensive healthcare plan to cover all of her needs and in the end she has helped me be more grateful, inspired and dedicated to serving others. Maybe one day the world will be reading her poems!”

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