Is self-insurance the best option for every employer?
No. Since a self-insured employer assumes more of the risk for paying the health care claim costs for its employees, it must have the financial resources to meet this obligation. Therefore, small employers (fewer than 50 employees) and other employers with poor cash flow may find that self-insurance is not a viable option. Currently, about 50% of workers in the U.S. with 200 to 1,000 employees have self-funded coverage.
