Stop Loss insurance is often times viewed as a commodity where price is the primary or even single variable considered. To ensure adequate protection in high claim situations, it’s important to understand the nuances of Stop-Loss options and contract terms. In some cases, saving a little money up front can end up being very costly in the future. Self-Funding Actuarial helps you determine an appropriate level of stop-loss protection.
Stop-Loss Contract Valuation provides the following five measures:
- Statistically-determined fluctuations for projected claims without a specific stop-loss limitation.
- Statistically-determined fluctuations for projected claims with a specific stop-loss limitation.
- Economic value of specific-only stop-loss.
- Economic value of aggregate-only stop-loss.
- Economic value of a variable aggregate-only stop-loss.