Spam Part 2

Ok, I get an email shot to me instantly. Let's review it:

*It has my application ID. Application! What application? I only filled out a request for quotes. Now some people think they actually have an application processing.

*It says "thank you for choosing Netquote." Insteresting - I didn't see the name "Netquote" anywhere on the spam email.

*It has yet another link for me to click and suggests that the more agents I have competing for my business that better. Guess what happens if I click that link and fill out yet another form.

And now you all start to see what happens when people say 4, 5, 6 or even more agents have called. Also, the gig is up after prospects receive this instant email. They now see the list of agents who will be calling them so they know to simply not answer the phone.

Why do internet leads suck so much? Let's find out

Ok, I got spammed with this a few days ago. The 1st thing it touts in the title is "Get Coverage from $40 per Month!" But in the email message it actually touts $30 per month. Now we can stop right there. First of all, we all know no one can get a plan for $30 per month. Secondly, just what kind of prospect is this attracting? The stupid, the young or the broke - oh, and people actually clicking on email spam.

So I hit the site and am promised "instant quotes." Now, to me "instant quotes" means I'm gonna see some figures. Absolutely nothing states that I'm going to receive calls from agents - in which 95% of all prospects would simply leave the site.

So I type in my family info and only after I click to get my quotes does it tell me that several agents will contact me. This is when most people go "CRAP!" and the reason most don't pick up the phone - even though you're calling seconds after you receive the lead.

Now, there are indeed highly interested people - but those people automatically get routed to Ehealth. So let's sum up:

1) You're calling people who think they can get plans for $30 a month
2) You're calling people who have not agreed nor plan on you calling
3) They have already been routed to Ehealth

So now let's up the competition factor in the equation. Obviously I'll be getting calls today so let's say my family wants a plan with maternity and see what happens.

Just walk away

Walking away from a deal is hard and asking questions you don't want to hear the answer to can be harder. With time in this business warning flares will go up after talking to certain clients. This was a case where enough flares were going off to light up a 4th of July celebration.

Got contacted by a lead - 1st flare. She's been on Cobra for months - 2nd flare. She tells me she's perfectly healthy but is really pressing me to get a plan started immediately - 3rd flare. When I was a new agent I'd have simply asked the health questions and did the app.

We went through the entire online app and I went over the MIB and claims review process. After I did the app I walked her through the verification and as she was looking over the app she started asking me more about the claims review. At that point I'd had it and went over how claims works in detail.

Then she coughs it up - car accident a few months ago and her back's been hurting ever since. The Cobra she was on? It lapsed due to non-payment so she doesn't have any coverage. She was simply scared she's get denied if she talked about her back pain - and she's right. Off to the state plan which is where we would have gone in the 1st place if she'd have been upfront with me.

Obviously we all want get paid for our efforts but this is a case where I had to walk away from $600+ and take the $100 from the state.

I really feel sorry for people looking for coverage

Almost at the end of my internet lead freebie program. I'm sorry I ever said yes - 100% total frustration. Any deal I did submit would have been effort better spent on other marketing activities. Just hearing about other agents and how they operate simply puts me in a bad mood. I really like to stay positive and just can't spend defending myself or what I recommend. I really give it to agents who live off of shared leads - more power to ya.

I love the "but internet leads work" agents. No...calling a lot of people works. If you went to a bus stop and pitched 20 people you'd sell a plan - that doesn't mean you should canvass bus stops for business.

This was a classic - got the lead, called and left a very nice message - shot out an email. That was three weeks ago. Well - she called me. It's a mom looking for coverage for her divorced daughter.

So what did she get roped into? A discount plan - Beechstreet PPO. Daughter (now living with her mother) went to get her meds filled - Wellbutrin and Ambien, and you can finish that story.

So another pesky agent bugging her three times a day finally got his claws in her. Of course, that's Golden Rule after the mother expressly told him she wanted all the meds and doctor visits covered REGARDLESS of the cost! The mom makes fantastic money, she's paying and she just wants the damned condition covered.

Obviously you can finish this story although Golden Rule actually declined her. Now she's out the money she spent on the discount plan, she's out one money for the Golden Rule premium until they can refund her and her daughter still doesn't have any coverage. GR would have been the last place I'd have put her.

So we just did an Assurant Max plan - showed copay vs no copay rates and the mom went with no copay. She'll be approved and issued tomorrow.

If anyone's out there on shared leads battling this endless sea of bullshit, go for it. The agent who lies the most wins. If you think you're getting a majority of the business by being ethical and taking your time with people you're in denial.

Kicked out another Aetna

I know I'm busy when I'm didn't even update this blog yesterday - literally all day on the phone, wrote an Aetna app which literally took half of my day. We went back and forth between Aetna and Blue Cross since she wanted maternity. Then my son had soccer practice at 6pm, get home at 7pm, dinner, etc...

Let me spend some time on the difference between people choosing coverage and you having to sell it. If you try to sell health insurance you will find yourself frustrated. Why aren't all those people getting back to you? Why aren't they answering their phone after that great converstion you had? The answer? Who knows.

Not a lot of people are natural buyers; meaning they're simply at the stage where they want to make a change. Most people, even serious ones, are in the research phase and are not in the right frame of mind to pull the trigger. Those are the people you'll call twice a day, day after day and get nowhere.

The bottom line is you need a lot of prospects. How do you know if you have enough? Here's a test: If you're gonna spend today calling all the people who haven't answered their phone before and haven't responded to your emails then you don't have enough prospects.

How many times do I call someone? Twice. The 1st time I leave a nice message, the second time I simply call at a different time of day. Then I'm done. Nothing spells "loser" more then a client seeing your caller ID on their machine 8 times over 3 days. Oh...you're blocking your caller ID? Go form an "L" with your thumb and index finger and put it up to your head. This is not how professionals conduct business.

Without a lot of prospects you're doomed to be a pest. You have to call people incessantly so you can squeeze those 2 or 3 clients out of the 20 prospects you got that week. That's also when you start second-guessing everything. The bottom line is you need to generate enough prospects so you naturally find those 3 to 5 clients per week who simply want what you're selling.

FREE hit counter and Internet traffic statistics from freestats.com

MHIP - becoming more of a pleasure

I just did yet another MHIP app today and let me tell you, my attitude is really changing on doing these deals.

They are now becoming enjoyable and it's simply great to hear the client's enjoyment in finding affordable guaranteed issue coverage. MD is now the nation's richest state and MHIP shows that affordable comprehensive plans can exist.

As you can see, I can get a 50 year old a $1,000 deductible plan for $305 or the $2,600 for $163. If MD can pull this off, so can the nation. If I got "ANY" commission I'd still be in business as an agent.

MHIP plays me a flat $100. But remember there is nothing to it. Normally I go over the plans and rates with a client in about 10 minutes. They download and fill out the app on their own, I simply sign it and fill in my broker info and it's done.

If all of my carriers had GI plans with these rates and paid me $100 flat I'd be able to kick out 10 apps a week without breaking a sweat. That's $52 a year and I'd cross-sell life. Not a problem. If they paid me 5% commish 10 deals would be 30K in volume = $1,500 a week.

FREE hit counter and Internet traffic statistics from freestats.com

Agent vs Boiler room

I'm at the end of my "free lead" trial. Haven't talked to much about it - internet leads are simply terrible. I've been writing a lot of state plan though!

Just got a lead - shared of course. Actually got excited to call it - husband 56, wife 60 two kids. Not bad. Ok - let's do "agent versus boiler room!"

stats: Family on Carefirst at $1,800/mo - have had it forever. Husband - recent heart attack, high cholesterol, lots of meds. Wife, healthy and two kids - 18 and 20, healthy. They've in love with Carefirst, don't want to change - want lower rate.

And they're off!

Boiler room: "I'm sorry, you already have a plan and you don't qualify for anything. Thank you."

Agent: "You qualify for MHIP because of your condition - even if you already have a plan. It's $334 for a $1,000 deductible. Because you're primary and canceling your wife and kids can submit a new Carefirst application, go through underwriting again and get $1,000 deductible for $554.

However, if your wife got her own plan it would be $211. You kids should get their own plans because they'll be dropped at age 24 anyway, less employers are offering health, and you should lock them into a plan now. They'd pay $84 a piece so it's actually cheaper to go that way."

So hubby's doing the MHIP app as we speak and taking my suggestion for indie plans for the wife and kids.

Boiler room = Go screw off.
Agent = $1,800 on month on Carefirst - now $713 - still on Carefirst.

FREE hit counter and Internet traffic statistics from freestats.com

Great past week and taxes

I had a great past week - have a nice Assurant check coming, did a GR deal for $720, two Aetna's and two state plans. Although I didn't do any cold-calling I already addressed that my pay has not gone up significantly - I merely replaced what I used by make cold-calling by going local. This week needs to be a mix of local and cold-calling so I can have extra money to put into local growth.

Taxes. If you're a new agent the best advice I can give you is talk to a tax pro. If anyone's telling you that you don't have to pay quartly estimated taxes they're wrong: http://www.irs.gov/businesses/small/article/0,,id=110413,00.html Do NOT take any tax advice from anyone unless that person is a licensed tax pro!

I misfiled and it took the IRS over 6 years to shoot me a love letter. The penalities and interest were staggering. I made an installment arrangment but strugging to make the payments plus all my bills put my behind on quartly taxes which defaulted my installment agreement. I just had to give them a chunk to get current again.

If it were not for past tax mistakes I'd be in fantastic financial shape. I'd be able to rent a physical location this week. The IRS is 100% of the reason I'm behind the eight ball.

I've also, thankfully, been paying on my past-due state taxes all year (also from years ago.) And thank God! Why? Because they just sent me a letter stating that I cannot renew my insurance license on Oct 23rd unless I'm current. Thankfully I only have $1,100 more to go so that's not an issue.

Everyone talks about difficulties with this line of work. For me finding clients and making money have never been an issue. A huge psychological issue for me is getting a check for $2,000, knowing around $600 of it isn't mine (federal + states) and putting it aside.