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Alternative Funding

Level-Funded Plans: How They Work and Why They Matter

Roger Aboytes — Founder & Licensed Benefits Advisor, Vantage Pointe Consulting
2/5/2026

Level-funded plans represent a middle ground between fully insured and self-funded arrangements. You pay a fixed monthly premium including projected claims, administrative fees, and stop-loss insurance. If actual claims are lower, you get a refund. This model offers predictability, upside potential, and control.

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