Summary

The Employee Retirement Income Security Act (ERISA), which passed and turned into law 50 years ago in 1974, provides the legal framework for the uniform provision of benefits by employers doing business anywhere in the United States. This uniformity allows multistate companies to “self-insure” its health plans. To mitigate the uncertainty of large, unexpected claims, employers will often purchase stop-loss insurance. This week’s health care Fast Fact examines the significant differences in stop-loss coverage by firm size.