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Health Plan Participation in the Employer Stop Loss Market

Considerations before taking the plunge
Employer Stop Loss

As health plans look for opportunities to grow their business, many see employer stop-loss as an opportunity.

Over the past decade, submitted financial filings suggest the employer stop-loss (ESL) market has nearly tripled, growing from roughly $7 billion in premium in 2008 to over $21 billion in 2018. As this growth has occurred, a significant share of it has accrued to health plans rather than traditional ESL carriers. While there can be hurdles for a health plan to overcome when trying to enter the ESL market or grow an existing stop-loss block, the market can provide meaningful opportunities. Milliman's Rob Bachler and David Sipprell, Senior Vice President of RGA, provide a data-rich historical view of the stop-loss market and considerations for entry. For health plans that can commit the necessary resources and are willing to accept the inherent risks, ESL can be a growth opportunity that complements their fully insured business.


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The Author

  • David Sipprell

    Senior Vice President
    Managed Care Stop Loss Turnkey

    RGA U.S. Group Re
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