1. ICHRAs work for all shapes and sizes!
When we first dove into the ICHRA space as it launched in 2020, we were adamant that it would be a majority of small groups (under 50 eligible employees) looking at the concept. Our average size group is 140 eligible but will work with groups as small as 3 and no limit on the maximum. There is no average industry, either. We have seen everything from manufacturing plants and trucking companies to law offices and medical systems.
2. Participation is nothing to fret!
Two of the biggest worries I hear from brokers about moving to an ICHRA are, “what if the group’s enrollment number goes way up” and “what if no one participates?” Good news! There are no participation limits with ICHRAs. If you have 0 employees take coverage or 100% of your employees sign up, participation does not affect the employer offering coverage to their employees. As for enrollment moving from a typical group plan to an ICHRA, it stays almost stagnant with no major disruption to the enrollment numbers. Check out this white paper on some of our early insights here.
3. Bavvy can save you money!
Moving from a typical group plan offering to an ICHRA can save groups thousands, if not millions, every single year. This goes for both the employer and employees. On average, the groups we have done an ICHRA Feasibility Analysis for are saving $140,000+ by moving to an ICHRA.
4. Medicare eligible employees rejoice!
Employees 65+ will be guided to sign up for Medicare if their group moves to an ICHRA, as the individual market does not allow them to sign up for an individual plan. The huge advantage in this scenario is that these employees can use their employer contribution dollars to help pay for their full Medicare elections, including Medigap and Medicare Advantage. Win-win all around.
5. Flexibility is the Secret Ingredient of Bavvy!
You can offer an ICHRA to a subset of your population if you want to maintain your group plan on the side. Want to just offer your 5 remote employees in ND an ICHRA while keeping the corporate NC office employees on the group plan? Done! Want to offer your part-time employees health benefits for the first time to avoid high turnover? Sold! There are endless ways to customize your ICHRA offering, and Bavvy is here to help.