2017 Employer Health Benefits Survey (171/222)

SECTION10. PLANFUNDING Self-FundedPlan Aninsurancearrangementinwhichtheemployerassumesdirectﬁnancialresponsibilityforthecostsof enrollees’ medical claims. Employers sponsoringself-fundedplanstypicallycontractwithathird-partyadministrator orinsurertoprovideadministrativeservicesfortheself-fundedplan. Insomecases,theemployermaybuystoploss coveragefromaninsurertoprotecttheemployeragainstverylargeclaims. FullyInsuredPlan Aninsurancearrangementinwhichtheemployercontractswithahealthplanthatassumesﬁnancial responsibility for the costs of enrollees’ medical claims. The Kaiser Family Foundation and Health Research & Educational Trust / Page 171

2017 Employer Health Benefits Survey Page 170 Page 172