Medicare Advantage –
Cost Member Conversion/New Member Acquisition
PRODUCT
Medicare Advantage plans with and without Part D Prescription Drug coverage, including 3 HMO and 1 HMO-POS plan.
CHALLENGE
Clarian Health Plans, Inc., introduced a new Medicare Advantage plan in 2008. For the 2010 effective period, CHPI had two main goals:
- Convert 4,411 members from their existing Medicare Cost Plan (Senior Smart Choice) to the Medicare Advantage plan before the old plan was discontinued in January, 2010.
- Acquire new MA members from the eligible universe in both core counties (Indianapolis region) and non-core counties (areas surrounding Indianapolis).
SOLUTION
KBM Group: Health Services divided the goals into three objectives:
- Convert the Cost Plan members. Initial contact letter sent from the president notifying individuals of the cost plan closing. The package, mailed first class, included a lift note, and provided a brand link between Senior Smart Choice and Clarian Health Plans. Call to action was to call and enroll in a members-only meeting to learn more about options. For those who did not respond by mid-October, a ‘second notice’ mailing was sent. For all responders who did not buy, reminder postcards were sent in December and January.
- To generate leads and sales for general acquisition.Direct mail was the workhorse, with more than 1,000,000 pieces mailed in a 10 week time frame, using a pseudo-control package and a test package.
- To help handle the expected increase in call volume, KBM Group: Health Services recommended the engagement of a third party call center. With the introduction of the direct response campaign for the MA enrollments, CHP’s staff wasn’t sufficient enough to handle the additional call volumes that resulted, along with the conversion efforts. To compensate, KBM Group: Health Services helped identify and implement a Triage Call Center to handle all leads generated by the media.
- Deployment of MIS. In order to track and report on the various marketing activities, KBM Group: Health Services deployed our Marketing Intelligence system for Clarian. This allowed the Client to track on a daily basis the leads coming in from all sources from the point of origin to member. Subsequent analysis was done to evaluate those that converted and those that did not. Efforts in year two were developed based off of the results tracked and measured in MIS.