Reinsurance, or stop loss, is insurance that is purchased from a reinsurance company to reduce risk associated with paying out claims over a certain specific and aggregate deductible. You and your reinsurance carrier will work together to determine the level of financial risk associated with your self-funded plan and establish coverage that helps to mitigate that risk. In exchange for a monthly premium, the reinsurance carrier will reduce your financial exposure and help you to set predictable costs for your self-funded health plan. Self-funded employers can often find themselves with high-dollar employee health claims from severe incidents or diseases requiring hospitalization. Reinsurance absorbs the risk in these situations and lowers a self-funded company’s financial burden.
Due to our excellent relationships with A-rated stop loss carriers, we can take your business to market and help you obtain cut-rate quotes from our trusted business partners. For a list of our stop loss carriers, please contact us.