A flexible alternative to fully insured health plans

As an alternative to purchasing a standard insurance plan, self-funding gives your group the flexibility to design your own. As its names implies, under a self-funded arrangement, your organization finances its own health care costs but takes advantage of Blue Cross Blue Shield of North Dakota’s provider contracts and administrative services.

Who can self-fund benefits?

  • Groups with 26 or more employees enrolled have a choice of several standard design self-funding plan options
  • Groups with more than 50 employees enrolled have additional flexibility for custom-designed benefit plans
  • Organizations with adequate financial resources and reserve to assume some risk

Why self-fund?

Groups that self-fund their benefits may enjoy:

  • Potential lowering of health care costs
  • Elimination of carrier risk charge
  • Exemption from state-mandated benefits
  • Reserves that remain within their group
  • Significant cash flow benefits
  • Promotion of greater cost awareness and consumerism
  • Immediate individual stop-loss protection

How it works

Administrative Costs
Services, such as employee Summary Plan Descriptions (SPDs), case management and certain reporting are included in this fee.

Using this method to calculate administrative fees involves the employer in the administration of the health plan and allows the employer to participate in favorable claims experience.

BlueCard Program
The BlueCard® Program allows access to substantial discounts in every state across the nation.

Stop-Loss Premium
Claims experience is pooled with other groups to avoid wide fluctuation from year to year.

Claims Payment
Our contracts and financial arrangements with 99% of North Dakota’s physicians and 100% of North Dakota's hospitals lower the cost of paying claims.