HealthHealth care costs and insuranceEmployee benefits and pensions
Why This Matters
The Self-Insurance Protection Act allows employers who self-fund health benefits to use stop-loss insurance without it being classified as health insurance. This helps employers manage unexpected health costs more effectively.
If you work for a company that self-funds health benefits, your employer may have better options to manage unexpected health costs.
Who this affects
employers · employees
What changes is this bill making?
1This bill changes the definition of health insurance to exclude certain stop-loss insurance.
2Stop-loss insurance helps employers manage financial risks from unexpected health claims.
3Employers can purchase this insurance to protect their funds when they self-insure health benefits.
4The bill ensures that both small and large employers can access stop-loss insurance.
5It also allows federal law to override state laws that limit this type of insurance.
