How did Spaggregate™ Originate?
The ideas for Spaggregate arose originally from a desire to come up with a better way to successfully underwrite low benefit (i.e., $2-10,000 maximum) plans utilizing some form of stop-loss contract. While a traditional aggregate might be written on such a program, it would not allow for a spread of risk that was satisfying either from an actuarial view (profit stability), a risk-takers view (profit potential), or an MGUs view (reward/work ratio). Once Spaggregate was developed with the use of appropriate legal resources it could be applicable to single employer ERISA trusts, it was recognized that it was an ideal vehicle to replace traditional stop-loss in many situations. In other words, it was a weapon with much broader potential usage than restricting it to limited benefit programs where the maximum cost is 10-15% less than traditional stop loss.
TPAC Underwriters Celebrates Ten Years of Spaggregate™
Flexibility of Innovative Stop Loss Risk Product Perfect Fit for Expected Health Care Policy Changes
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Read more about the Advantages of Spaggregate and our Approval Criteria.
Please also read our Underwriting Guidelines and our Claims Reporting procedures to better understand this program.