BCBS Blue Funding (Level-Funded Plans)
A level-funded option from Blue Cross Blue Shield of Massachusetts designed for groups roughly in the 10-150 employee range.
How Level Funding Works
A level-funded plan combines a fixed monthly payment with a self-funded structure behind the scenes. The employer pays a predictable amount each month that's built to cover expected claims, administrative costs, and stop-loss protection against unusually large claims. If actual claims come in under what was budgeted for the year, a portion of that surplus can be returned to the employer.
It's a middle ground: employers get more predictability than a fully self-funded plan, and more potential upside than a fully-insured plan, without taking on the full risk of self-funding.
Why It Can Appeal to Senior Care Employers
Organizations in this size range — a single assisted living community, a home health agency, a hospice program — often have more stable, predictable census and claims patterns than a very small group, which can make level funding a better fit than a fully-insured plan alone.
What to Weigh
Level funding isn't automatically cheaper, and surplus returns aren't guaranteed — they depend on actual claims experience. It's worth evaluating alongside fully-insured BCBS options and other carriers at renewal.
Want to know if level funding fits your group?
Request a review and we'll help you compare it against your current plan.