Definition Of Self-administered Plan In Insurance

Definition of "Self-administered plan"

Donna Fallon, Real Estate Agent McMonigle Group Corp

Qualified pension or other employee benefit where responsibility rests with an employer rather than an insurer. A trust fund plan, where assets are deposited with and invested by a trustee, is the most common self-administered plan. A trust agreement governs the plan administration and retirees are paid benefits from the trust or the trustee buys annuities for them. The self-administered, or trust fund plan, contrasts with the insured (insurance company) pension plan.