Employers may look to offer employee benefits funded through a Voluntary Employee Beneficiary Association (VEBA) and other trusts.

A VEBA is a form of a trust that is formed for the benefits of plan participants like funding retiree medical using Trust Owned Life Insurance (TOLI) or Trust Owned Health Insurance (TOHI) directly or through a fronting company. The fronting company reinsures the program to a captive and employer contributions to the VEBA are tax-deductible. An important characteristic of VEBAs is that both the employee and their eligible dependents can use them.

Spring provides turnkey solutions through the use of VEBA’s that allow for a cost savings. Contact us for more information about our VEBA products and services.