Does a mix of self-funded and insurance-funded benefits put a plan outside ERISA preemption of Virginia's anti-subrogation statute

In State Farm v. Smith, Chief Judge Jones of the W.D. Va. took on the interesting question of whether ERISA preempts the Virginia anti-subrogation statute (Va. Code 38.2-3405) with respect to a mostly self-insured employee benefit plan that also provides some benefits with insurance, and the answer is, yes it does.