How Level-Funded Benefits Work

Level-funded benefits are the missing piece of the puzzle you’ve been looking for. With level-funding, you’ll enjoy decreased benefits costs, just as though you were running a large corporation. Choose level-funded, and let your small business grow and financially succeed. Here’s how it works:

Level-Funded is Not Just for Large Corporations

Think your business is too small for level-funded? Think again! ERISA makes it possible for small businesses to have access to the same coverages and cost-saving benefits that large corporations and Fortune 500 companies already take advantage of.

There are 28.8 million small businesses in America. Shouldn’t they have the same access to benefits that large corporations do? With level-funded, they can.

How Eligible Claims are Covered

Level-funded health benefits plans bring you the ability to pre-fund your claims fund.

Rather than paying claims as they come in – and not ever knowing what to expect from month to month – you already have funds set aside to take care of eligible claims.

But what happens when a claim is more than what you have in your fund? Nationwide® has you covered with an Excess Stop Loss policy designed to come to your aide in the event that an eligible claim exceeds your claims fund. And your stop loss policy comes with a lower deductible as well.

Claims Fund Rollover = More Savings

When you have money remaining in your claims fund at the end of your policy period, level-funded benefits plans allow you the option of rolling over those dollars into the following term.

Rolling over drives your plan costs down and puts more back into your pocket.

Level-Funded Benefits Save You Now and Down the Road

Level-funded health benefits are a smart way to budget for your small business because you pay a set amount each month, and you know what that amount is going to be when you sign up.

While level-funded benefits already save you from the beginning due to the fact that plan rating is based solely on you and your employees, there’s even more savings to be had down the road.

By taking advantage of the rollover options for money leftover in your claims fund at the end of your policy term, your company can steadily reduce the cost of benefits in the future.

Interested in learning more about level-funded health benefits plans? See how much you can save today.