"Health insurers are increasingly focusing on two methods that allow them to cherry pick the most favorable employee populations from the small group market and provide them with large group benefits and risk-adjusted premiums. The first method [uses] Professional Employer Organizations (PEOs) ... The second method ... is less common and isn't permitted in some states (i.e. New York), but viable nonetheless. This approach uses self-funding to free a small employer from the community-rated market."  MORE >>