I enjoyed the article, “Is stop-loss the answer?” on page 14 of the April issue. I started my insurance career marketing and selling self-funded plans and spent time as a stop-loss sales representative for a managing general underwriter, so self funding is near and dear to my heart. I agree with the comments in the article that self funding is a viable option to consider for larger groups. Heck, I even had a couple of 20-life groups that ran successful self-funded plans for many years. That said, there are deep issues to consider if you are not proficient in self-funded plans. Check your E&O coverage if you are going to be marketing stop loss. Stop-loss related claims could be excluded, so make sure you are protected. Learn the terminology of self funding so you will know what terms like lasering, accommodation, disclosures, etc., mean. Meet with TPAs and stop-loss carriers to learn their process, underwriting requirements, and learn the extra steps involved with these types of medical plans. There are things that can come back to bite you if you are not diligent and detail oriented.
