Last month, we discussed the Self-Insurance Protection Act (SIPA) bill as it bounced around the Congressional floor. Most recently, this bill has cleared the House Committee on Education and the Workforce and is now up for consideration by the full house.
As this legislation continues to make its way through Congress, this inherently confirms the methodology behind self-funding through stop-loss coverage as a viable and rewarding option for taking on more risk. The ability to navigate the landscape of self-funding through stop-loss coverage provides many unique benefits that are not an option through fully insured coverage.
In an article written by Richard Stolz, he clarifies:
“federal regulators cannot redefine stop-loss insurance as “health insurance coverage” under federal law, ensuring that employers can continue to utilize this important financial risk-management tool when offering employees healthcare coverage through a self-funded plan.”
Meanwhile, there is a second bill, known as the Protecting Access to Care Act, that is also pending Congressional support. This bill would place a limit on all medical malpractice claims to help curb the costly practice of defensive law. The passing of this bill could have some unique medical malpractice changes that we all need to be aware of.
To learn more about both of these bills, read the article Congress Eyes Stop-Loss, Medical Malpractice Bills, from Employee Benefit News.