How CHC Works
CHC works alongside your insurance—not instead of it.
You still get coverage through a broker.
What’s different is how your premium dollars flow—and how risk is managed over time.
A different way to manage risk — and cost
The traditional model:
- Your premium goes to insurers
- Claims go directly to insurers
- Premiums increase after claims
With CHC:
- Members work together
- A portion of your premiums, which you pay anyway, contribute to a shared fund
- That fund helps absorb claims from the deductible up to $250K, before your insurance kicks in
How it works: step by step
You pay your insurance premium
Just like you normally would
A portion of your premium, which you pay anyway, is set aside in a shared fund
This is the Self-Insurance Retention (SIR) Fund
If there’s a claim:
- You pay your deductible
- The SIR Fund covers the next portion
- Insurance only steps in after that
What is the SIR Fund?
The SIR Fund is a shared fund supported through member participation.
It acts like a second deductible, helping cover claims before insurance is involved.
It reduces the number of claims that impact your policy and future pricing.
Because fewer claims go to insurers:
● You’re less likely to see sudden premium increases
● More control stays within the sector
● Your costs start working for you—not just the insurer
Important to know
Being insured through a broker is not the same as being part of CHC.
To access the SIR Fund and its benefits, you must be enrolled in the CHC program—not just hold a standard policy.