Self-Insurance For Small Businesses Goes Under The Microscope

Politco Pro describes the growing focus on this part of the insurance marketplace as a "sleeper battle to watch." Meanwhile, Reuters reports that a growing number of people are signing up for supplemental insurance coverage.  

Politico Pro: Focus On Self-Insurance For Small Businesses
In a summer dominated by health care fights, self-insurance is emerging as a sleeper battle to watch. Amid signs that more small businesses may self insure — which could effectively let them avoid complying with aspects of national health reform — the nation's insurance commissioners are wrestling with new guidelines for stop-loss insurance that would mean small businesses would have to bear more of the self-insurance risk. California's crusading insurance chief is leading a high-profile effort to significantly raise the bar for self-insuring in his state while the Obama administration examines federal limits on self-insurance (Millman, 8/2).

Reuters: Supplementary Insurance Fills New Gaps
A convergence of trends in insurance costs is driving up the number of people who are signing up for supplemental insurance - overall sales rose 11 percent between 2011 and 2012, with critical illness sales jumping by 23 percent and accident plans by 21 percent, according to industry analyst, LIMRA. One big reason for that increase? The 13.5 million-plus people now enrolled in a high-deductible health plan paired with a health savings account (HSA) (Zamosky, 8/2).

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