Tag: self funded

Question: What is stop loss insurance? Answer: According to the Department of Labor, stop loss insurance protects against health insurance claims that are catastrophic or unpredictable in nature and provides coverage to self-insured group health plans once a certain level of risk has been absorbed by the plan. Stop loss protection allows an employer to…

Question: What is an insured plan versus a self-funded plan? Answer: Employers that offer health and welfare benefits typically will pay for those benefits in one of two ways: either by purchasing health insurance from an insurance company (fully insured plans), or the employer provides the benefits directly to employees (self-funded plans). Most employers with…