The Lehigh Valley Business Coalition on Healthcare endorsed a new self-funded stop-loss plan developed by Bethlehem-based BSI Corporate Benefits to help small to mid-sized companies control health insurance costs.
The plan, called BSI CORE, is designed for companies with about 25 to 500 employees, a segment that typically has a more difficult time absorbing catastrophic claims.
Under the plan, employers can select a preferred insurance carrier, including those already offered through LVBCH.
LVBCH president Carl Seitz said BSI CORE will help its members control their health care spending over five years. The plan helps protects companies against high-cost claims by pooling members with other companies in a large consortium, thereby spreading out risk, he said.
LVBCH has more than 200 member companies, mostly in the Lehigh Valley, but also throughout Pennsylvania, New Jersey and New York, that cover about 300,000 employees.
LVBCH previously endorsed a plan through Emerson Reed for its small to mid-sized members, but that company’s stop-loss plan fell through and is no longer offered, Seitz said.
Seitz said the new plan “ensures that participating employers will have access to the essential claims data, services and tools necessary to control their health benefits without the typical risks often faced by employers of this size.”
More than one-third of small to mid-sized companies had at least one health insurance increase of 30 percent or more since 2010, said Tony DaRe, principal of BSI Corporate Benefits.
In a statement, DaRe said LVBCH’s endorsement of its product was a “tremendous validation.”
LVBCH is one of 50 business health care coalitions in the country that are part of the National Alliance of Healthcare Purchaser Coalition.