IDEAS home Printed from https://ideas.repec.org/a/bla/rmgtin/v18y2015i2p243-254.html
   My bibliography  Save this article

Self‐Funding of Health‐Care Plans by Small Firms: Risks and Reforms

Author

Listed:
  • Robert Pozen
  • Anant Vinjamoori

Abstract

Small employers that offer health insurance have usually offered fully insured products through traditional health plans. Recently, the Patient Protection and Affordable Care Act (ACA) has created new requirements for fully insured products that will entice more small firms to fund their own health‐care benefits. However, self‐funding poses significant risks to these small firms, their employees, and state exchanges. To mitigate some of these risks within current political realities, we recommend advance disclosures—to small firms of material changes in their stop‐loss policies, and to their employees that premium subsidies are available only on ACA exchanges. We also suggest strengthening Small Business Health Options Program exchanges by broadening the availability of subsidies and building partnerships with brokers. Finally, we recommend an expanded role for brokers and third‐party administrators in helping small firms improve their choice of health‐care insurance.

Suggested Citation

  • Robert Pozen & Anant Vinjamoori, 2015. "Self‐Funding of Health‐Care Plans by Small Firms: Risks and Reforms," Risk Management and Insurance Review, American Risk and Insurance Association, vol. 18(2), pages 243-254, September.
    • Handle: RePEc:bla:rmgtin:v:18:y:2015:i:2:p:243-254
    DOI: 10.1111/rmir.12046
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/rmir.12046
    Download Restriction: no
    File URL: https://libkey.io/10.1111/rmir.12046?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Amy B. Monahan & Daniel Schwarcz, 2013. "Limiting the ACA's Threats to Small Group Health Insurance Markets," Risk Management and Insurance Review, American Risk and Insurance Association, vol. 16(1), pages 25-34, March.
    2. Deborah Chollet, 2012. "Self-Insurance and Stop Loss for Small Employers," Mathematica Policy Research Reports 6e7d5a0f122d4a749e0f750f4, Mathematica Policy Research.
    3. repec:mpr:mprres:8054 is not listed on IDEAS
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.

      More about this item

      Statistics

      Access and download statistics

      Corrections

      All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:rmgtin:v:18:y:2015:i:2:p:243-254. See general information about how to correct material in RePEc.

      If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

      If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

      If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

      For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=1098-1616 .

      Please note that corrections may take a couple of weeks to filter through the various RePEc services.

      IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.