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How ICHRA works

From group plan to defined contribution — in four steps.

An Individual Coverage HRA lets you reimburse employees, tax-free, for health insurance they choose themselves. Here's the whole model, start to finish.

1

Set your budget

You decide a fixed monthly allowance — and you can vary it by employee class (full-time, part-time, salaried, hourly, location, age, and family size). This is the number your costs are capped at. No carrier sets it for you.

2

Employees choose their plan

Your team shops the individual market and picks the plan that fits their family and keeps their doctors. Choice guides them through it, so they land on the right coverage without the guesswork.

3

They get reimbursed, tax-free

Employees are reimbursed up to their allowance automatically each month — tax-free to them and to you — with full compliance documentation generated behind the scenes.

4

You stay predictable

Your spend is exactly what you set. No surprise renewals, no double-digit increases, no participation minimums. And every plan includes unlimited Direct Primary Care.

What makes it work

Defined contribution, not defined benefit.

The shift is simple but powerful: instead of buying one plan for everyone and absorbing the increases, you contribute a set amount and let people choose.

You

Control the budget

Set the allowance that fits your business. Adjust it by class. Your cost is fixed and known in advance.

Them

Control the plan

Employees choose from the full individual market — keeping preferred doctors and matching coverage to their family.

Us

Control the paperwork

Choice handles enrollment, reimbursements, affordability testing, and ACA / ERISA / HIPAA reporting.

See the numbers

Curious what this saves you?

Model your own census in the savings calculator — adjust headcount, current cost, and allowance to see your estimated annual savings.