Administrative Services Organization (ASO)

An Administrative Services Organization (ASO) is a company that providesEmployer with professional management and support for employee benefit plans, such as health insurance, retirement plans, and other HR functions. Instead of handling these tasks internally, an organization partners with an ASO to outsource administrative responsibilities, ensuring efficient management, compliance, and record-keeping. The employer maintains control over plan design and funding, while the ASO handles the day-to-day administration, processing claims, managing vendors, and maintaining records. This arrangement helps organizations streamline operations, reduce administrative burden, and access specialized expertise without transferring ownership of the benefits plans.