OneDigital’s Compliance Leader Joins Centers for Medicare & Medicaid Services Panel Discussion on Individual Coverage HRAs

With rising healthcare costs, many employers are forced to use a standardized approach when designing healthcare options for their workforce. Unfortunately, this often leads to employees leaving many of their benefits untouched or underutilized.

One option that addresses this issue is an individual coverage health reimbursement arrangement (ICHRA). This company-funded, account-based health benefit allows employers to provide defined non-taxed reimbursements to employees for qualified medical expenses.

In a recent panel discussion hosted by the Centers for Medicare & Medicaid Services (CMS), “A Discussion on Individual Coverage HRAs,” OneDigital’s Senior Vice President of Regulatory Affairs and Compliance Annette Bechtold explains that ICHRAs can be a flexible and creative way for businesses of all sizes to control their healthcare benefit costs in an unpredictable market. And because ICHRAs are relatively new, Bechtold insists that education will be essential to ensure proper utilization.

The ICHRAs give – when you’re talking about providing benefits – give a lot of flexibility. My workforce, or the business or industry I’m in, is more likely to be populated by a gig worker environment than it is today. This is a fantastic option to get those same workers returning who wouldn’t normally be eligible for traditional type benefits.

I think there’s nowhere to go but up for its adoption. I believe education will be critical coming forward. The education of both the individuals who are purchasing coverage as well as businesses and how to bring this flexibility and this desire for people to want to find something that fits their own personal story and where they’re going, and what they need for their families. I think it will be huge.
 
– Annette Bechtold, SVP of Regulatory Affairs and Compliance, OneDigital

Watch the CMS panel discussion here.

Learn more about ICHRAs and check out this recent post: Individual Coverage HRA’s (ICHRA) – A New Way for Employers to Pay for Medical Insurance.