Potential Savings, More Reporting
Moving from a fully insured employee health plan to self-funding (or self-insuring) employees’ health benefits offers potential savings for some employers; however, it also triggers increased compliance requirements. Your clients may want to consider how any switch will affect:
- Budgeting for employee benefits
- Employee contributions for coverage
- COBRA premiums
- Potential purchase of stop-loss protection
- Selecting a benefits administrator to pay claims
- Whether claims are paid from segregated or general assets – or whether to set up a trust to pay claims
- Accounting and auditing
- Employer ACA-related reporting
- ERISA compliance
- HIPAA privacy and security
- Added plan disclosures and documents
