With Obamacare premiums soaring in 2017, it is important to start thinking about what this means for the average person, and further, what this means for the financial planners that these people rely on. Just hearing that premiums are increasing is enough to scare nearly anyone – but be sure to keep in mind, and stress to your clients, that even stressful economic times are great opportunities for smart spending and investing.
How much are the premiums going up?
According to CNN, the average increase will be 22% - but that varies quite drastically by state. Arizona is expected to see an increase of 116%. Depending on the location of your clients, the emotional climate in regards to this premium increase may be different. However, the vast majority of states are experiencing an increase, and for this reason, it is important to address this change with clients. There are lots of people feeling extremely nervous and uncertain about what this increase means for them financially.
How to talk to clients about the increases
This is the perfect time to bring up these increases with clients and open communications about their concerns with the impending changes. Many people are in need of clarification about how these changes will affect them and what their financial response should be. Don’t miss this opportunity to step in and offer that clarification and guidance.
This is a crucial time to be planning with clients. Doing basic budget planning with all of your clients will help them deal with the impending increases and doing so preemptively will help to build trust between you. This is also a great segue to meet with potential clients who you didn't sell initially or to get past clients back in to review their current situation and see if there is anything you can further help them with.
Times are a ‘changing – don’t miss the opportunity to work through these premium increases with your clients!