Why not just give the employee the money that would have gone to PEBP to buy their own insurance?
This goes back to the basic benefit of group insurance where the many pay for the few. On average, approximately 70% of the self-funded cost is incurred in 20% of the claims. The approach of giving employees cash to pay for their own coverage could be feasible for those with relatively good health but would likely be catastrophic for those with major medical concerns.
