Idaho Health Captives Work for Associations, PEOs

​Trade associations and PEOs like health insurance in Idaho  captives because they allow their members to have a health plan they can somewhat call their own, yet each employer can have a separate self-funded health plan with their own plan design and stop-loss deductible limits.

CAPTIVE MEDICAL INSURANCE PLANS

A captive health insurance plan, also known as a medical stop-loss policy, allows multiple self-funded health plans to form a type of partnership and purchase their stop-loss protection together. 

Captive health insurance policies work differently than captive property and casualty plans. For one thing, they are designed strictly for paying healthcare related claims and not to be used as a tax shelter, a strategy that has caused a some property and casualty captives to get a bad reputation.

Types of Captive Health Plans and Risk in Idaho

Some medical insurance captives are homogeneous, meaning they are all from a single industry (trucking for instance) and other stop-loss captives are heterogeneous, with several different industries represented. 

Each type of Idaho captive can have its own advantages and disadvantages. For example, if all of the employers in a captive health plan are from the same industry and that particular industry is hard hit with a certain disease or illness it can adversely affect all of the self-funded health plans in the captive.