Level funding is a form of self-funding that looks, acts, and feels like a fully-insured plan. It’s ideal for groups who have low risk tolerance and who want all the guarantees and safeguards of a fully-insured plan.
Level funding is a growing market phenomenon. Brokerage distribution channels (insurance agents) earn between $30 to $45 per employee per month. With the promise of “return of premium”, guaranteed “rates” and “transparency” incentivized brokers have good reason to push the product.