Why Data is Key for Medical Stop Loss Group Captives

By Don Talend March 21st, 2024

To Mike Van Ham, senior vice president at Captive Resources, data analysis can serve a critical role in controlling employer-sponsored medical insurance costs. Van Ham leads the company’s Health Risk Management team, which helps deliver resources, tools, and data to members of the Medical Stop Loss (MSL) group captives supported by Captive Resources.

Recently, Van Ham went into more detail on how his team supports group captive members and the critical role data plays in those efforts for the Healthcare Captive Insurance Annual 2024 from Captive Insurance Times. Here are a few key takeaways from the interview.

MSL Group Captives Deliver Transparency and Control Over Data

“In a group captive environment, members have complete control and ownership of their medical claims data, allowing for greater transparency, customized risk management strategies, and the ability to tailor solutions to their [specific] needs,” Van Ham said.

“Members embrace this ownership and control and use the data to track and measure the effectiveness of their cost containment efforts and adjust course as trends evolve.”

Data Helps Members Identify the Right Risk Management Initiatives

“We see from plan data that the key cost drivers within the captive and among individual member groups are concentrated in a few areas that help us focus our efforts,” said Van Ham. “Mitigating healthcare spending for conditions like cancer, diabetes, and musculoskeletal issues is a complex challenge — these conditions are consistently in the top five spend categories for employers today.

“Implementing solutions that are customized to your plan participant population’s specific needs, such as condition management programs, provider network optimization strategies, patient engagement, and education and pharma strategies, is essential to manage these expenses.”

Collaboration Among Members is Crucial to Success

“Within the captive, members are focused on sharing and learning from each another’s best practices,” said Van Ham. “They have a vested interest to share how they’ve addressed similar challenges within their individual plans and populations and their successes.

“It becomes a community focused on cost containment, where a rising tide lifts all boats.”

For more of Van Ham’s insights into how MSL group captives can support members’ health risk management and cost control strategies with data insights, click here to download the full article.

Related Reading

Our infographic further explains how self-funded MSL group captives can help employers control medical plan costs. Click the link below to access the infographic:

How Employers Can Address the Rising Costs of Healthcare

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