One of the most important leading indicators that Medicare Supplement carriers need to be tracking is their mix of business. This information provides a predictor of the overall health of your block of business and can provide insight into where the future loss ratios will land.
Sales results for several Medicare Supplement carriers and have put together with 2023 data by Telos Actuarial. The following summary that shows how their experience compares to prior years. The 2024 results will change as the year progresses and more new business is issued.
1. Mix of Business by Plan
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Plan G continues to be the most popular plan with over 60% of issued policies in each of last five years
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Plan F had been the second most popular plan, but Plan N has closed the gap and may surpass it in 2024
2. Mix of Business by Issue Age
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Issued policy counts trend downward as issue age increases
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Age 65 is still the most common Issue Age for new Medicare Supplement policies
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Issued policy counts drop significantly for ages 80+
3. Mix of Business by Plan and UW Type
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Underwritten Plan G policies account for more than 50% of the issued business
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Open Enrollment Plan G policies were the second most common but were overtaken by Underwritten Plan N business in the 2024 effective date cohort
