Very few companies self-insure. Even the largest Fortune 500 companies do not self insure, they have Performance Based Insurance programs which include risk transfer features. Depending on their size, they might pay the first million or even first 100 million of every claim. But they’re still transferring the truly catastrophic and severe claims to an insurance company. The concept works the same way for Fortune 500 companies as is does for middle market companies. Middle market business are responsible for their predictable claims, and transfer catastrophic claim risk to another entity. This allows them to reduce their premiums, control unexpected premium swings, and never need to go out to bid, while still mitigating risk. Middle market businesses should contact Bob Phelan for a no obligation consultation.