5 Tips for Employers Offering an ICHRA for the First Time

POV: You’re an employer setting up an Individual Coverage Health Reimbursement Arrangement (ICHRA) for your team’s health benefits for the first time. Here are 5 tips to help you to navigate this transition effectively.

1. Trust in Your Employees’ Capabilities

The biggest fear we hear from HR teams is that “employees can’t possibly choose their own health insurance plan.”  It’s a very understandable worry. But, in our experience implementing hundreds of ICHRA Open Enrollments, employees often rise to the occasion. 

Of course, this doesn’t happen by magic. 

We recommend hosting an Open Enrollment Workshop. Venteur also offers 1:1 appointments with licensed benefits experts. What you’ll find is that ICHRA empowers employees and helps them to feel more confident in their healthcare choices. 

In short: provide your employee with support, but also trust in their ability to navigate the health insurance options available.

2. Allow Ample Time for Open Enrollment

Timing is everything when it comes to Open Enrollment. Aim for a window of two weeks. Larger groups might aim for three weeks.

This timeframe allows employees to fully understand the ICHRA structure, explore their plan options, and discuss their choices with family. 

Extending beyond three weeks tends to deliver diminishing returns.The reality is that some employees will wait until the last minute to complete their health insurance selection and end up making a snap decision. We recommend identifying a balance that works for your team.

3. Verify Provider networks

For employees with specific healthcare needs, we strongly encourage that they speak directly with their providers to confirm what plans are accepted. A simple phone call to the provider's office can clarify which specific plans are accepted. For instance, while a doctor may take Blue Cross Blue Shield, they might not accept every plan under that umbrella. You may also get intel from your provider. For example, they may be in-network now but planning to no longer accept a certain type of insurance soon. These details can make sure “go-to” doctors remain accessible.

4. Understand ID Card Processes

Some carriers may issue cards promptly, while others may take longer, so keeping everyone informed is key.Educate employees on the varying processes and timelines for obtaining ID cards from different carriers. This knowledge can prevent confusion and frustration. For further details, please see our Help Center article here. 

5. Set Expectations for Invoices

Let employees know that they will receive invoices from their insurance carrier. This is because they are the policy owner of their plan and is completely normal. This happens even if you’ve hired an ICHRA platform like Venteur to pay premiums on your employees’ behalf. Informing employees ahead of time can help avoid confusion and anxiety. 

And that’s it! We wish you a successful ICHRA rollout for your employees. If you have any questions, please don’t hesitate to get in touch. We’d be happy to help!