In the last decade and as a result of health care reform, we have seen a significant increase in the number of employers over 10 in size partially self-funding their health care programs. Employers 10 to 100 in size are medically underwritten and not guaranteed issue.
More than 36% of the nation’s employers with 3 - 999 employees are using self-insurance as a means of controlling the high cost of employee benefit programs either through full or partially self funded-plans, according to a 2015 survey conducted by the Kaiser Family Foundation - Health Research & Educational Trust. Purchasing Stop Loss Coverage limits the employer’s exposure and protects the company’s cash flow.
Analyzing your risk and developing strategy to address that risk is of the utmost importance. You decide the level of risk you want to assume and the amount you wish to have assumed by one of the several stop-loss insurers we utilize. To facilitate stop-loss coverage on behalf of our clients, we negotiate with only the financially strong A+ rated stop-loss carriers.
Two insurance components provide the necessary insurance for consideration of self-funding:
- Specific stop-loss coverage levels to protect against catastrophic expenses from any one employee or dependent
- Aggregate stop-loss coverage to limit catastrophic liability to a maximum amount for the entire group featuring a monthly aggregate maximum. A wide variety of incurred/paid options are available to meet each employer’s level of risk.
We recognize that each employer has different needs, different demographics, claims experience and plan design preferences. We can tailor policy features to an employer’s preference. In addition, we offer all standard contract provisions plus all variations commonly available in the marketplace.
Questions about Self-funding?
To discover how NBCI can help your business implement a self-funded healthcare program, simply give us a call at (262) 201-4370/(800) 875-1505 or visit our contact page. We look forward to hearing from you!