One entity; two health plans

[Griswold]

Any reason why you can't have employees of the same entity in two different fully insured health plans? I don't see why not, but can't seem to find any authority on this either way.

Thanks.

[leevena]

Yes, it is possible and is done often.  There are issues of possible additional administrative issues, costs, and headaches.  The actual cost should also be reviewed, sometimes it is better to split the risk, other times it is not.

[Griswold]

Thanks.

[Flyboyjohn]

One thing to watch out for is an exclusive provider requirement in the contract with the carrier.

This comes up a lot where the employer wants to offer a "skinny" self-insured MEC arrangement  but also offer a traditional fully-insured plan.