Level-Funded Plans

Most small business owners in Oklahoma have never heard of a level-funded plan. That's not an accident — carriers and big brokers make more selling you a standard fully-insured plan. But for the right group, level-funded coverage is one of the most effective ways to lower costs without cutting benefits. What a level-funded plan actually is With a traditional fully-insured plan, you pay a fixed premium to the carrier every month, and the carrier absorbs all the claims risk. Wi

Level-funded plans keep coming up in renewal conversations with Oklahoma small employers, usually after someone hears it could lower costs. Here's what it actually is, and who it genuinely fits. What "Level-Funded" Actually Means A level-funded plan is a hybrid between fully-insured and self-funded coverage. You pay a fixed monthly amount — like a traditional premium — but that amount is split into three buckets: claims funding, administrative fees, and stop-loss insurance (p

If you've been shopping for group health insurance and feel like fully insured plans keep getting more expensive every year, you're not imagining it. Premium renewals of 10–20% are common — even when your employees barely used their benefits. There's an alternative worth knowing about: level-funded health plans. The Problem With Traditional (Fully Insured) Plans With a standard group health plan, you pay a fixed monthly premium to a carrier. The carrier takes on all the risk.

Choosing the right health insurance funding strategy is one of the biggest decisions a small business can make. Many employers automatically renew the same fully insured plan every year without realizing there may be alternative options that could lower costs and improve flexibility. One of the fastest-growing alternatives is the level-funded health plan. But what’s the difference between fully insured and level-funded plans—and which one makes more sense for your business? W