Definitions for "Self-insured plan"
Keywords:  erisa, exempt, phos, mpp, tpa
a plan offered by employers who directly assume the major cost of health insurance for their employees. Some self-insured plans bear the entire risk. Other self-insured employers insure against large claims by purchasing stop loss coverage. Some self-insured employers contract with insurance carriers or third party administrators for claims processing and other administrative services; other self-insured plans are self administered. Minimum Premium Plans (MPP) are included in the self-insured health plan category. All types of plans (Conventional Indemnity, PPO, EPO, HMO, POS, and PHOs) can be financed on a self-insured basis. Employers may offer both self-insured and fully insured plans to their employees.
a health insurance plan you set up to pay health care expenses for your employees
a less expensive way for an employer to provide health care benefits, provided the claims experience is favorable and the employer can realize a good rate of return on the money deposited in the trust account