What is the term for the grouping of two or more small employers in the same industry for obtaining favorable group health insurance rates?

The grouping of two or more small employers in the same industry to obtain favorable group health insurance rates is best referred to as a "trust." In this context, a trust is a legal entity established to hold and manage assets or benefits for the benefit of its members. By pooling resources and risks together, small employers can leverage their collective size to negotiate better rates and coverage options that might not be accessible to them individually.

Such arrangements enable small businesses to lower costs, improve access to comprehensive health insurance, and enhance bargaining power with insurance providers. The established trust acts as the plan sponsor, allowing participating employers to share the financial risks associated with providing health benefits to their employees.

While options like welfare associations, consortiums, or alliances may involve groups of businesses and collaborative efforts, they do not specifically encapsulate the legal structure and contractual nature of how a trust operates in the context of group health insurance for small employers.