Growth of ICHRAs

Enrollment of employees in Individual Coverage Health Reimbursement Arrangements (ICHRAs) is expected to triple in 2026, according to an analysis by “HealthSherpa”. ICHRAs essentially enable employees to choose their own private coverage; the employer provides a fixed pre-tax amount for its employees to use toward premiums but is otherwise not involved with the administration of the health coverage. Provision of an ICHRA is not dependent on the size of the employer, unlike many other types of plans.