ICHRA: Individual Coverage HRAs
A group health plan based on a pre-determined monthly employer contribution that employees may use towards the purchase of individual health insurance coverage
What is your role?
What is your role?
Business Owner
Retain and reward your employees with affordable health insurance.
Speak to a licensed professional and get the answers you need fast. We can help you with program set-up and give your employees a wide array of plan choices. Select “Get Started”, provide a few details and someone from our team will get back to you.
LIVE WEBINAR! October 5, Wednesday • 11am PT
Learn about ICHRA
Limited slots available. REGISTER NOW
FEATURING:
- Natasha Cantrell, Director of Small Business, eHealth
- Guest speakers from Milliman, an ICHRA administrator
Presented by&
Presented by
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ICHRA may be right for your business
Ideal for most companies: Less costly than a traditional group plan.- A predictable way to plan your company’s budget.
- A cost-effective, tax-free benefit for your employees.
- Easier and less time-consuming to manage.
- More personalized than group plans.
Get in touch!
Fill out our online form and we’ll be in touch within 24 hours.
Or call us at 1-877-671-0954
Or email us at ichra@ehealth.com
Whatever your role, we have the information you need!
You're just a click away from valuable ICHRA information you can take with you.
Why Choose an ICHRA
For Employers
- Designed for companies who want to provide a great employee benefit.
- Flexibility to confidently define the monthly contribution amount for each employee class.
- Easy for employers to manage, minimize risk, and control costs.
- Uses qualified healthcare plans and can cover preventative and emergency services.
For Employees
- All employees can participate, including part-time.
- Employees can choose the plan that suits them.
- Employees can use the money on the benefits they want.
- Contributions are tax free and not reported as income.
- Employees can take their healthcare plan if they leave their company.
How it works
- Employers set a monthly contribution amount for eligible employees.
- Employers set the pre-tax contribution amount per person, stabilizing their maximum out-of-pocket expenses.
- Employees choose the coverage plan that’s right for them.
- The employee shops for and enrolls in coverage through eHealth. Qualified experts are available to answer any questions an employee may have while choosing their coverage.
- Employees shop for and purchase coverage using a uniquely assigned Benefit Payment ID.
- The employer pays the insurance carrier on behalf of the employee. Any premium amount over the employer’s contribution will be the employee’s responsibility and may be payroll deducted.
- Employers approve and pay monthly premium statement.
- The employer reviews and with one-click approves and pays the monthly consolidated carrier premium statement.
Compare and decide
ICHRA
Group Insurance
OverviewEmployers can provide tax-free reimbursement for qualifying medical expenses like premiums, copays, and more. |
Fixed CostsYes, employer determines annual amount paid out to employees. |
Employer ContributionsNo annual maximum |
ReimbursementDefined contribution |
EligibilityNo company size restriction. Some restrictions may apply. |
CoverageEmployees choose a qualifying health plan for accepted health care expenses. |
EnrollmentAvailable any time of the year. |
TaxesReimbursements are tax free. |
OverviewEmployers can offer and contribute dollars to insurance plans for their eligible employees. |
Fixed CostsNo |
Employer ContributionsUsually 50% of employee premium but may vary by state. |
ReimbursementDefined benefit |
EligibilityNo company size restriction. |
CoverageEmployees have a selection of plans to choose from with employer-selected coverage. |
EnrollmentAvailable any time of the year. |
TaxesEmployer contributions are generally not taxed. |
| ICHRA | Group Insurance | |
|---|---|---|
| Overview | Employers can provide tax-free contributions for qualifying medical expenses like premiums, copays, and more. | Employers can offer and contribute dollars to insurance plans for their eligible employees. |
| Fixed Costs | Yes, employer determines annual amount paid out to employees. | No |
| Employer Contributions | No annual maximum | Usually 50% of employee premium but may vary by state. |
| Reimbursement | Defined contribution | Defined benefit |
| Eligibility | No company size restriction. Some restrictions may apply. | No company size restriction. |
| Coverage | Employees choose a qualifying health plan for accepted health care expenses. | Employees have a selection of plans to choose from with employer-selected coverage. |
| Enrollment | Available any time of the year. | Available any time of the year. |
| Taxes | Contributions are tax free. | Employer contributions are generally not taxed. |
Frequently Asked Questions
Is an ICHRA plan better than a traditional group plan?
For a smaller business, yes. Small companies can work within their budget and set up an ICHRA plan for their employees. Costs are more predictable while giving the employee more flexibility in the type of coverage or how much coverage they want.
How much employer contribution does each employee get?
That’s up to the business owner. Each employee can get the same amount or the amounts can differ based on the eligibility of each employee class. It’s fully customizable by the business owner.
Do employees have to partake in an ICHRA plan?
No. Participation is totally optional for employees.
Get in touch!
Fill out our online lead form and we'll be in touch within 24 hours. All fields required except those labeled optional.
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