Investopedia

Wholesale Insurance

Dictionary Says

Definition of 'Wholesale Insurance'

Coverage for employer groups that are too small to qualify for true group coverage. The wholesale insurance policy covers an entire group, though individual policies are written for each person that is to be insured.

Also known as franchise insurance.

Investopedia Says

Investopedia explains 'Wholesale Insurance'

Wholesale insurance is sold to members of a group with rates based on individual rates, typically with some type of discount based on expense savings. Wholesale health insurance, for example, is essentially an individual health plan that is provided to groups of people in companies that have fewer than 10 employees. In this case, each employee can purchase a policy, or in some instances, the employer would pay the premiums as part of an employee benefits package.

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