MIAMI — When insurance agent Kelly Fristoe recently spent 30 minutes helping a client pick a midlevel health plan and the federal marketplace website froze, he called the government’s hotline and tried to finish the application. But the operator refused to credit Fristoe as an agent on the application, meaning he wouldn’t get the commission or be listed as the follow-up contact if his client needed help again later.
The Wichita Falls insurance agent is one of many brokers around the country finding frustration as they try to help customers navigate the Affordable Care Act’s marketplaces while earning the commissions they’ve long built their businesses around.
Some insurers and insurance agents are calling on President Barack Obama’s administration to allow them to bypass HealthCare.gov and enroll consumers directly amid growing complaints about problems with enrollment information generated from the website.
The so-called “back-end” problems could mean that consumers who think they’ve successfully signed up for a health plan, may find themselves unable to access their coverage come January. The problems include enrollment information that’s rendered practically useless by errors, duplication or garbles. Efforts to fix the issues are underway.
Nearly 70,000 agents and brokers were certified nationwide to sell health insurance on the federal exchange. Many said they could be the troubled health law’s best ambassadors with the potential to boost lackluster enrollment figures — only about 27,000 enrolled via the federal website nationwide in the first month. But instead, many agents said they’re continually met by obstacles.
“You look at this dismal number they have of how many people have enrolled on HealthCare.gov,” said Fristoe. “If they would just relax and loosen up, because me and all of my associates across this nation want to help these consumers get enrolled into the market.”
Federal health officials announced on Nov. 22 that they’d fixed some portions of the website to allow more insurers and insurance agents to enroll consumers directly. The feds are asking roughly 16 insurers, agents and brokers in Florida, Texas and Ohio to test it out and give detailed feedback about the fixes, hoping to expand it to other states in the coming weeks.
Health officials were vague about the scope of the botched applications insurers are receiving and what steps they’re taking to fix the problems. One bug related to Social Security numbers, which federal health officials said accounted for more than 80 percent of insurers’ problems, was fixed last weekend.
But the problems persisted, prompting the head of the National Association of Health Underwriters to write the president Tuesday, urging him to make additional fixes a priority, saying agents have a significant backlog of clients with incomplete applications.
“We want to make it clear that a number of back-end technical obstacles still exist for health insurance agents and brokers trying to actively support the federal marketplace,” said CEO Janet Trautwein.
Among the complaints, agents said the website isn’t always crediting brokers when they help enroll consumers — meaning they’re losing out on commissions. Once an application is started, consumers can’t go back in and add a broker’s name if they help midway through the process. Federal health officials said there are 975,000 customers who have started an application but not selected a plan.
Agents said they’re also still waiting on the federal government to add a feature on the website that would easily connect consumers with local insurance brokers.
Insurers and insurance agents are allowed to sign consumers up for health plans through a “direct enrollment” process. Even though the process may start on the insurer’s website, at some point it’s redirected to the technology-plagued healthcare.gov website to determine if customers are eligible for subsidies, and then ideally transferred back to the insurer’s site. But various points in the process have been mired in glitches. Federal health officials said they’ve fixed some of the problems, but skeptics fear the improvements still won’t allow for a smooth shopping experience and are pushing for a way to bypass the website.
Brokers face similar problems in some of the states that are running their own exchanges, such as Oregon. It’s easy for insurers to enroll customers who want a health plan and don’t qualify for a subsidy. The trouble comes when insurers and agents need to sync to federal data hubs to verify income, citizenship and other personal information. Democratic Florida state Rep. Richard Stark, who is also an insurance agent, said many of his clients have received inaccurate subsidy estimates from the federal government for clients. For example, a client with twin children was told one is eligible for a subsidy, but not the other.