Self-funded health insurance can have many advantages. That being said, it doesn’t come without risks. Whether you are a family-owned business, a small or large corporation, you must consider the risks as well. During initial health checkups, you may find your employees healthy, but a sudden medical diagnosis can cause extreme burden due to higher than expected medical costs. This is when stop-loss insurance coverage comes to help.

The working of stop-loss coverage

It’s not just medical coverage, but a financial and risk management tool that can help by capping your pay toward your employees’ medical bills at an agreed sum. It creates a kind of threshold and the services covered by your medical plans remain within that threshold. Stop-loss comes into existence when the claims fall outside the capped amount.

The best stop-loss insurance helps your business in case of major and unexpected medical expenses that could impact your cash flow. At worst, it can even affect major business operations and may even put a company out of business. The coverage reimburses employers when expenses go beyond the set limit. However, as the self-funded sponsor, you are typically responsible for paying in full.


There may be independent and aggregate stop-loss coverage plans that a certified agent may be able to explain.

Stability with stop-loss insurance

The best stop-loss insurance policies with leading agencies can provide several billing options to suit specific financial situations. There could be options to choose a monthly statement that allows settling with stop-loss credits at the end of every month. On the other hand, there could be weekly settlement plans as well.

The certified team of Skyline Benefit Insurance Solutions has years of experience as a stop-loss carrier underwriter. Trust them for the best stop-loss insurance solutions when you need a carrier. Get solutions around your specific business needs.