Many brokers and employers want to learn more about the Individual Coverage Health Reimbursement Arrangement? We know all the market options and can help you navigate this intriguing way to offer benefits.
See Brad O'Neill, CEO of Golden Bee Advisors discuss the Individual Coverage HRA with other industry leaders.
An individual coverage health reimbursement arrangement (ICHRA) is a new type of health reimbursement arrangement, available as of 2020, in which employers of any size can reimburse employees for some or all of the premiums that the employees pay for health insurance that they purchase.
Employers can base eligibility for ICHRA for employees in seven different permissible classes:
Employers must offer a particular class of employees either an ICHRA or a group health plan; they can’t offer both to the same employee. If an employee has health insurance through a spouse’s employer-sponsored plan, they can’t enroll in an ICHRA and use those dollars to pay for their spousal coverage.
Employers also do not have to reimburse for all health care-related costs if they offer an ICHRA. Employers can choose to just contribute towards premiums, or to allow you to use any leftover ICHRA dollars towards your deductible.
Open Enrollment the new 401k
Employers can make contributions to numerous "classes" and plan their budget must better than with traditional or self-insured..