Some employers want to provide their own coverage but do not have the staff to administer the coverage. What option is available?

A. establish an individual policy for each employee
B. establish a fully insured, self-administered plan
C. establish a fully insured plan and hire a third-party administrator
D. establish a self-funded/self-insured plan and hire a third-party administrator

Employers can establish a self-funded/self-insured plan and hire a third-party administrator to manage the coverage without having staff to administer it. This approach offers cost efficiency, flexibility in benefits, and alleviates administrative tasks through professional management by the TPA. Among the options provided, this is the most suitable choice for those employers needing a manageable coverage solution.
;

Answered by Anonymous | 2025-07-04

Employers wanting to manage their own coverage without administrative staff can establish a self-funded/self-insured plan and hire a third-party administrator. This option provides cost efficiency, flexibility, and relieves administrative burdens. It allows employers to customize benefits while managing expenses effectively. ;

Answered by GinnyAnswer | 2025-07-04