The Individual Coverage Health Reimbursement Arrangement (ICHRA) is being billed as the latest way to help employers stabilize benefits costs while still providing for employees, but is it?
Our experienced team provided insight on how an ICHRA works and how it has the potential to save companies money.
Click here to watch the entire webinar.
An ICHRA (pronounced ick-ruh) enables employees to choose the health plan that works best for them and their budget. They enjoy the same tax advantages allowed under group health plans, there’s no medical underwriting or markup for pre-existing conditions, and the employee can keep the plan after they leave their employer.
On the other hand, employers have the chance to determine exactly how much they will spend annually on health care for employees because they reimburse for premiums and pre-determined medial expenses. They are no longer responsible for claims made by employees throughout the year.
As a result, with more than 6,000 employees covered through ezICHRA, about 200 employers have seen only nominal increases in spend since they switched to an ICHRA.
ezICHRA can help employers determine whether an ICHRA is right for their organization. We use a three-step process to design your plan, educate employees and administer the plan.
For more information, visit our ICHRA page or contact us here.
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