Overview of Self-Funded Health Plans
When it comes to health insurance, businesses around the globe are constantly seeking strategies to provide quality care while maintaining financial sustainability. One viable option that is rapidly gaining attention is the Self-Funded Health Plan.
What Are Self-Funded Health Plans?
Self-Funded Health Plans, also known as Self-Insured Health Plans, are insurance models where an employer assumes financial risk for providing healthcare benefits to its employees. In these models, instead of paying premiums to an insurance company, the company directly pays for the healthcare costs incurred by the employees.
Why Choose a Self Funded Health Plan in Indiana?
For many businesses, the decision to switch to a self funded health plan comes down to one major factor: cost savings. By self-funding, businesses can avoid certain costs associated with traditional insurance such as profit margins, risk charges, and state premium taxes.