|
What is Self-Funded?
Assurant Health’s self-funded plans provide small employers the opportunity to save on health care expenses by directly funding expected claims and buying stop loss insurance for excess claims. These plans often offer a value proposition for small employers that are disadvantaged by small group rate regulation (community rated and limited rate band states). In community rated and limited rate band states, small employers with expenses less than the norm often must pay substantially higher premiums to subsidize groups with health problems. Self-funded plans are designed to provide an alternative that helps these groups capitalize on their good health and low health care costs. In addition, many groups over 50 lives choose a self-funded plan for its economic advantage, allowing employers to actively participate in their company's employee health care coverage, gaining greater control over both the design and financing of the plan.
How does it work?
With self-funding, you – the employer – assume direct responsibility for financing your company’s health care benefits plan. You fund your group’s claim expenses, up to determined amounts. If your actual expenses are less, your group may keep the savings or use it to help offset next year's contributions. If the employer plan expenses exceed these amounts, you have Stop Loss protection:
Aggregate Stop Loss Insurance – protects against high claims incurred by your group as a whole.
Specific Stop Loss Insurance – protects against high claims incurred by an individual group member.
Plan Features – The health plan for your employees will look the same:
- Comprehensive PPO network plans
- Tax-advantaged HSAs and HRAs plans
- Lifetime Maximum Choices — $3 million
- Deductibles ranging from $250 up to $2,500
- Prescription Drug Coverage — choose drug deductibles from $0 and $150
What groups should consider self-funded?
Self-funding can be financially advantageous if your small business claim expenses are at or below the norm among groups who purchase conventional insurance. Employers are selected for the likelihood that they will benefit from their participation. Self-funded plans offer these employers an opportunity for substantial savings on high quality health coverage. If your group includes members with serious, ongoing health conditions, conventional insurance coverage is probably a better alternative.
Where are Assurant Health's Self-Funded Plans Available
Currently we are available in Maryland and California. We are in the midst of expanding our coverage area, so please contact us directly at selffunded@assurant.com to see if we are available in your area.
How do I find out more?
 Visit our Self-Funded Web site* for more information.
Or for more information about Assurant Health's self-funded small group plans, contact your local independent insurance agent.
*This Web site is operated by Assurant Health and is subject to our legal notice and privacy policy.
*Stop loss insurance is underwritten by Time Insurance Company, Union Security Insurance Company and John Alden Life Insurance Company.
back to top ^
|