Self-Funded Group Health

Self-Funded Group Health

Self-Funded is coverage offered by an employer in which the employer takes on the risk involved with providing coverage and the cost of claims for those employees, instead of purchasing coverage from an insurance company. Employers set aside funds to cover the cost of claims and other administrative expenses. Employers may choose to work with a Third-Party Administrator (TPA) to handle claims processing and other administrative functions, but the actual claims costs are covered by the employer’s funds.

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