Funding Strategy (Self-Funded, Level Funded, Fully Insured, ICHRA)

Structured evaluation and advisory support for employers making informed health plan funding decisions.

Headquartered in Richmond, Virginia, we serve clients nationwide. 

A black icon showing a hand palm-up, holding a circular coin with a dollar sign on it.

When Funding Decisions Require Structured Evaluation

Health plan funding is not a one-size decision. Employers often remain fully insured by default, or consider alternative structures without fully understanding the financial, regulatory, and operational tradeoffs.


Choosing between self-funded, level funded, fully insured, and ICHRA models directly impacts cost predictability, cash flow, compliance obligations, and long-term flexibility.


Without structured evaluation, funding decisions can become reactive—driven by renewal pressure rather than long-term strategy.


As part of our broader Employee Benefits Consulting framework, we help employers evaluate funding options with clarity, disciplined analysis, and defensible decision-making.

A black icon featuring a magnifying glass focused on a line chart trend arrow, set against two perpendicular axes.

What Funding Strategy Means

Funding strategy defines how your organization pays for healthcare—and how risk, cost, and flexibility are managed over time.


Each model carries different implications, and understanding those differences is critical before making a decision.


  • Self-Funded Plans provide transparency and control, with greater responsibility for claims risk

  • Level Funded Plans balance predictability with potential cost efficiency

  • Fully Insured Plans offer fixed costs but may limit flexibility and visibility

  • ICHRA Plans shift to a defined contribution model with employee-driven plan selection

Our role is not to promote a specific structure. It is to evaluate each option based on your workforce profile, claims experience, and financial objectives—so tradeoffs are clearly understood before decisions are made.

A black icon featuring a central circle with a dollar sign, connected by lines to several smaller outer circles.

Explore Funding Models

Each funding structure requires a different level of financial commitment, risk tolerance, and administrative oversight.


We provide dedicated guidance on each model:

  • Self-Funded Plans

    Self-funded plans provide employers with greater visibility into claims data and more control over plan design and cost management. This structure allows organizations to pay for actual healthcare utilization rather than fixed premiums, often supported by stop-loss insurance to manage risk exposure.

    Learn More

  • Level Funded Plans

    Level funded plans combine elements of self-funded and fully insured models, offering predictable monthly costs with the potential for cost savings if claims are lower than expected. This approach provides a balance between financial control and risk protection.

    Learn More

  • Fully Insured Plans

    Fully insured plans offer fixed monthly premiums and transfer claims risk to the insurance carrier. While this structure provides cost predictability and administrative simplicity, it may limit visibility into underlying cost drivers and long-term flexibility.

    Learn More

  • ICHRA Plans

    ICHRA plans allow employers to provide a defined, tax-advantaged contribution for employees to purchase their own individual health insurance coverage. This model offers flexibility, predictable employer costs, and the ability to tailor benefits across different employee groups.

    Learn More

Understanding the differences between these approaches is essential to selecting the right long-term strategy for your organization.

A black icon of two hands cupped upward, holding a star-centered award badge or medal with ribbons.

How Funding Strategy Connects to Long-Term Benefits Governance

Funding decisions do not operate in isolation. They influence renewal outcomes, vendor relationships, compliance responsibilities, and employee communication.



We integrate funding strategy into broader Group Medical Strategy planning, ensuring alignment with plan design, contribution structure, compliance requirements, and employee engagement.


Funding selection is not simply about cost. It is about sustainability, accountability, and long-term performance.

A black-and-white circular graphic featuring repeating, wavy horizontal lines.

Funding Strategy Advisory Services We Provide

Our advisory services emphasize structured evaluation and disciplined implementation.

An icon showing a bar graph with an upward trend line above a magnifying glass.

Funding Analysis and Financial Modeling

We evaluate claims data, cost trends, and workforce demographics to assess appropriate funding structures.
Clipboard icon featuring a growth chart, star, checkmark, and a gear, symbolizing business performance or optimization.

Plan Structure Comparison

We provide side-by-side evaluation of self-funded, level funded, fully insured, and ICHRA models.
A black icon of a cardboard box sitting above a handshake, representing a business deal or delivery agreement.

Vendor and Carrier Evaluation

We coordinate proposal review and ensure transparency across pricing, assumptions, and services.
A black icon of a gear with a dollar sign in the center, held above two hands in a cupping gesture.

Risk and Cost Alignment

We assess financial exposure, stop-loss structures, and contribution strategies to align with organizational objectives.
A black and white icon showing two hands gripping each other in a gesture of unity or agreement.

Implementation and Transition Support

We guide implementation timelines, vendor coordination, and employee communication planning.
A pair of stylized hands cupping a circular coin icon with a dollar sign in the center.

Ongoing Funding Oversight

Funding strategies require monitoring. We provide continued evaluation to ensure alignment over time.

Structured funding decisions support long-term stability and cost control.

Our Funding Strategy Process

Strong funding decisions follow defined structure.

  • Step 1: Assess

    We evaluate your current funding structure, vendor relationships, compliance processes, and cost history.

  • Step 2: Clarify

    We define funding objectives, risk tolerance, and decision criteria aligned with your organization.

  • Step 3: Implement

    We support selection, vendor coordination, and plan rollout with structured execution.

  • Step 4: Monitor

    We provide ongoing oversight to evaluate performance, cost trends, and continued alignment.

Benefits strategy is not a seasonal event. It is sustained oversight.

Is Your Benefits Strategy Built for Long-Term Stability?

If renewal feels rushed, funding decisions unclear, or compliance responsibilities fragmented, it may be time for structured evaluation.


We work with employers to build employee benefits programs grounded in cost clarity, regulatory discipline, and long-term sustainability.