A HEALTH PLAN CAPTIVE is a tool to reduce and share risk for employers. It is reinsurance not a health plan by itself.
Employers with 50 or more employees are discovering the benefits of self-funding over traditional fully insured plans.
Employers with partially self-funded health plans rely on reinsurance to protect their plan from unexpected losses. The more participants insured within a program the greater spread of the risk.
Health Plan Captives combine many employers into a single risk pool.
Employers typically retain control of their risk tolerance, network selection and plan designs. While some captives may have requirements to create stronger similarity of risk among the participating employers.
The VIA HEALTH PLAN CAPTIVE provides the reinsurance to member firms, so they can feel confident in the self-funded environment. Employers choose their provider network (Aetna, United Healthcare, Cigna and sometimes Blue Cross). Employers can create their plan to include current benefits or make changes. Many times, the plan design features derive the savings.
The Captive provides the unexpected loss protection, so employers can customize their risk tolerance.