Consultant Advises 2,000 Life Case To Remain Fully-Insured

mulebriar   By Molly Mulebriar October 17, 2014

Last night a +2,000 life South Texas school district was advised by their insurance consultant to remain fully-insured.

The consultant informed the Board of Trustees that over a 6 or 7 year period there would only be a 4% savings under a self-funded arrangement. The consultant informed the board that he has clients with three to four thousand employee lives and “they are, and should be fully-insured.”

A survey  of the district’s employees was conducted to determine if plan participants wanted to remain fully-insured or participate in a  self-funded health plan.

During the presentation a  board member opined that a self funded employee health plan  could jeopardize district bond issues “because losses come out of reserves.”

The district is in the midst of a Request for Proposal for Group Medical Insurance for district employees.

Editor’s Note: Mulebriar is a free lance reporterette from Waring, Texas and former Miss Texas.  (




From A Consultant

Who is the consultant? Who is the district? Are you hiding their identity to protect them from public embarrassment?

From An Insurance Agent

Makes perfect sense to me. What better way to hid agent commissions

From A TPA

It is obvious there was a hidden agenda here. The consultant was simply “going along to get along.”

From A Former TPA Owner

There is a software app that tells what a broker makes on a case.  It is available by State, Region, and Nationwide.  It’s called miEdge.  I have used it and it appears to be pretty accurate.