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Stop Loss Market Update

September 2020

The stop loss market continues to harden with high loss ratios and an 86% increase in catastrophic claims over the past four years. The overall effect of COVID-19 on the stop loss market remains unknown despite the fact that large numbers of COVID-19 claimants never materialized. Cases running well continue to have access to favorable contract provisions, but we expect pending specialty drug approvals, emerging gene therapies and COBRA provisions related to the pandemic will impact rates well into the coming year.


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