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How the money flows

Posted On: Sep. 10, 2006 12:00 AM CST

Construction companies' health benefits funding program

  • Each company sets up and contributes to a voluntary employee beneficiary association

  • VEBAs used to pay health care claims

  • Companies make additional contributions to VEBAs when assets fall below certain levels

  • Contractors reimbursed for VEBA contributions by a risk retention group they own