Small businesses should consider self-funding their health insurance programs in order to lower their premiums. Small businesses should also look into QSEHRAs, which are tax-deductible health reimbursement accounts. These accounts can be a great option for small businesses because they provide more flexibility. Also, high- deductible plans tend to have lower premiums and incentives for using in-network doctors.

Self-funded plans offer more flexibility

While fully insured plans have their benefits, self-funded small business insurance plans provide more flexibility. While self-funded plans are subject to less government regulation, self-funding also allows for more flexibility in deciding which benefits are right for your employees. By paying for only the health care costs of your employees, you can save money that you can use for other business expenses.

A key benefit of self-funding is the greater control over utilization and claims data. Fully insured plans must share their data with their employers, but …