Here’s an idea for benefits brokers.
Offer employers self-insurance programs and stop-loss coverage for prescription drug plans, dental and vision benefits.
Many employers already know about the idea of self-insuring medical plans.
But a surprising percentage are unaware of that basic concept, and even more are unaware of the idea that they can use the self-funding strategy to control ancillary benefits features and costs.
Stop-loss insurance is, essentially, an insurance policy with a large deductible.
Stop-loss coverage reimburses the employer who self-insures for losses that are unpredictable or catastrophic in nature.