ICHRA, Simply
In 2020, ICHRA, or Individual Coverage Health Reimbursement Arrangement, went into effect with the goal of providing more health insurance flexibility and financial flexibility for employers and employees. Stemming from HRA’s and QSEHRA’s, employer-offered ICHRA plans allow employees to shop for their own individual ACA-compliant policy from a number of carriers while providing the opportunity to stabilize and reduce costs.
The Bavvy Difference
Traditionally, ICHRA’s require employees to pay their health insurance premiums in full and subsequently approach their employer for reimbursement of the employer’s contribution. While the flexibility and individualized nature of ICHRA is appealing, we at Bavvy wanted ICHRA’s to also feel accessible and familiar.
From our desire for ICHRA to look and feel like a group plan, Bavvy was born. Leveraging ICHRA, Bavvy offers a way for the employer to give a pre- or post-tax allowance to their employees. The employees can then utilize that allowance and their payroll deductions to purchase a qualifying individual health insurance plan that works best for them, their family, and their circumstances. Bavvy provides initial actuarial calculations, payment method administration, a vital platform for communication between carrier, employer, and employee; -and much more.
But ICHRA is so new!
We know, but at Bavvy, we are fanatic about trendsetting, leading, and innovating. Backed by over 75 years of top-notch consulting, we believe our Bavvy platform provides a better way for employers and employees to ICHRA, pioneering a new wave in employee benefits.