5 Questions Every Broker Should Ask Their Stop Loss Partner
In today’s volatile healthcare market, stop loss coverage is more than a financial safeguard; it’s a strategic cornerstone of every self-funded plan. For brokers, choosing the right stop loss partner can mean the difference between a program that simply transfers risk and one that truly empowers clients with long-term stability.
Not all stop loss partners are created equal. As market conditions evolve and claim volatility grows, it’s critical to dig deeper, beyond the surface of pricing, to understand how your stop loss carrier or managing general underwriter operates, manages risk, and supports your clients.
Here are five questions every broker should ask before partnering with a stop loss provider:
1. How does your underwriting philosophy adapt to changing market dynamics?
Stop loss pricing is only as sound as the strategy behind it. A partner with a disciplined yet flexible underwriting approach can balance stability with responsiveness, avoiding the boom-and-bust cycles that lead to unexpected renewal shocks.
The best partners pair analytical rigor with creativity, finding innovative solutions to unique client challenges while maintaining underwriting discipline. Look for a stop loss partner that uses robust data analysis, evaluates trends holistically, and demonstrates consistency and creativity in decision-making and problem-solving.
2. What measures are in place to ensure financial strength and reliability?
Financial security is the foundation of every stop loss relationship. Before choosing a stop loss partner, brokers should understand how a partner’s performance is evaluated and verified.
Independent assessments, such as AM Best’s Performance Assessment rating, provide a transparent view into an organization’s stability, operational excellence, and claims-paying ability. A strong rating and consistent affirmation demonstrate that the partner not only performs well today but is positioned to sustain that strength over time.
3. How are claims handled, and how quickly are reimbursements processed?
When large claims arise, timing matters. The best stop loss partners offer a streamlined claims process backed by experienced professionals who understand the urgency of reimbursement.
Ask about average turnaround times, escalation procedures, and communication practices during the claims process. A responsive claims team can make a world of difference in the employer’s experience and the broker’s reputation.
4. What level of transparency can clients expect?
Transparency builds trust, and in stop loss, that trust is essential. Brokers should look for partners who share meaningful data, explain underwriting decisions, and provide clarity around policy language, lasers, and reimbursements. A transparent partner doesn’t just protect clients; they empower them to make smarter, data-informed decisions about their self-funded programs.
5. How do you support brokers beyond the point of sale?
The relationship shouldn’t end when the policy is signed. A true stop loss partner works alongside brokers year-round, offering insights, renewal guidance, and proactive strategies to help clients control costs and anticipate change.
Whether it’s renewal analysis, trend reporting, or collaborative strategy sessions, long-term support is a hallmark of a partner invested in mutual success.
Final Thoughts
As self-funding continues to gain traction, brokers are increasingly looked to as strategic advisors, not just intermediaries. Choosing a stop loss partner that mirrors that same philosophy is essential.
The experts at Excess Reinsurance believe partnership starts with accountability, transparency, and performance you can measure. Our goal is to help brokers build lasting
value for their clients through disciplined underwriting, reliable execution, and unwavering commitment to service excellence.
Ready to take a more strategic approach to stop loss? Partner with Excess Reinsurance and experience the stability, insight, and partnership that set us apart.