Kaiser Health News has released an article by Michelle Andrews, discussing the trend of self-funding among smaller organizations. "Instead of buying a health insurance policy to cover their workers, a growing number of small and midsized companies are opting to pay their employees’ medical claims directly."Read the full article at: khn.org
According to the article, despite some financial risk and the need for stop-loss insurance, "the proportion of midsized companies with 100 to 499 employees that were self-insured increased 19 percent, to 30.1 percent...the percentage of small firms with fewer than 100 employees that self-funded their health plans grew 7 percent, to 14.2 percent."
Thanks to the evolution of healthcare under the ACA, small-to-midsize businesses can now experience both organizational and employee benefits from self-funding and partial self-funding. To learn more, download our Quick Guide to Partial Self-Insurance:
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