When using a self-funded plan, employers assume the liability and risk associated with uncertain healthcare costs in exchange for a number of significant financial benefits. The employer sets the premium rates based on their claims history and adjust the plan in other ways to cut costs.
If claims are lower than anticipated the employer can invest any savings and earn interest. In the event that claims are higher than usual, stop-loss insurance coverage can pay for excess costs.
BETTER BENEFITS FOR LESS
If you’ve never explored the possibilities of self-funding or are unsure if this type of program is right for you, contact one of our self-funding experts today to discuss how we may be able to design a benefits strategy that offers thousands of dollars in savings while improving the protection and health of your employees.