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Insured plans

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Insured plans
Defined benefit pension plans that are guaranteed by life insurance products. Related: Non-insured plans


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Health insurance industry structure is different for small employers, most of whom use fully insured plans.
Insured plans are governed by state insurance laws, whereas plans operated by self-insured employers are regulated by the federal government.
In fact, the increasingly popular IRC section 412(i) plans, also known as fully insured plans, are a form of defined benefit pension plans funded exclusively by life insurance, annuity contracts or a combination of the two.
 
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