New Era is a relatively newer player in the Medicare Supplement marketplace; however, that has not stopped them from offering very competitive prices and being a market leader in Medigap policies in 2011 and into 2012.
New Era is part of the same ownership group that operates Philadelphia American, another relatively newer company that offers Medigap plans in many states. In some states, the plans are offered under the New Era name, and in some states they are offered under the Philadelphia American name.
Where one of these companies are offered, it is very typical that they are among the top 2-3 companies as far as most competitive rates. Additionally, they have a great track record of rate stability over time, maintaining very manageable rate increases over the last few years. This has made them a very popular option in the states in which they are offered. To give you an idea of where the New Era/Philadelphia American plans are available, here is a partial list: AL, GA, IL, LA, MS, NC, OK, PA, SC, TN, and TX. There are other states where the plans are offered, but these are among the states where rates are currently very competitive (and/or market leaders in price).
There are several reasons why New Era is able to continue to offer plans at a lower rate than some of its competition. First and foremost, they pay a lower commission than many of the Medicare Supplement companies. While it doesn’t sound like much, 2-5% on agent commission can allow the rates to be correspondingly 2-5% lower. Secondly, New Era employs a more proactive and stringent underwriting process than many other companies, meaning that if you have health problems, it is possible that you would not get approved with them and would get approved with a less stringent company. Both of these factors also, it could be surmised, will continue to keep their rates low and their increases very manageable.
To find out more information about New Era Medigap plans, or to get a comparison on their plans and others, please contact us at online or call us at 877.506.3378.