Welcome back to Talk ICHRA to Me
This month, we’re talking about major proposed changes to how ICHRA works — including a name change! — and we're breaking down on brokers and consultants get paid when they move a client to the model.
Just for Fun
Hot Topic
What ICHRA’s move to CHOICE could mean for large employers
If the Senate passes the House's One Big Beautiful Bill, it will codify ICHRAs into federal law and rename them CHOICE arrangements. The acronym, preferred by 67% of our LinkedIn fans, stands for Custom Health Option and Individual Care Expense. The name change accompanies a host of other proposed changes to ICHRAs as we know them today that seemingly everyone is talking about.
But what few are discussing is how these changes stand to affect larger companies specifically, so let's get into it.
Proposed change: Let employees pay pre-tax via a Section 125 cafeteria plan for on-exchange/Marketplace health plans like they do now for off-exchange plans Impact on large companies: More flexibility and, pun-intended, choice for employees BUT potentially more administrative complexity for big groups.
Proposed change: Ability to offer employees a choice between a traditional group plan and a CHOICE arrangement regardless of class Impact on large companies: Despite a few headlines emphasizing this change, it does NOT apply to groups with >50 employees. Nothing would change here for ALEs.
Proposed change: $100/month/employee tax credit for employees who participate in a first-time CHOICE arrangement and $50/month/employee the second year Impact on large companies: Again, this one ONLY applies to groups with under 50 employees, but it also has the potential to accelerate adoption of the model, which would increase the risk pool and strengthen the individual market for everyone.
Proposed change: Expand HRA and HSA qualified medical expenses to include preventative care measures like gym and direct primary care memberships Impact on large companies: Could make CHOICE more attractive across the board and increase its flexibility, but additional education would be needed to help employees navigate options.
Some say ICHRA/CHOICE rules are too complex, but lucky for you—you already know someone who can make it easy for you and your clients.
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ICHRA in the News
Want a Sneak Peek of SureCo's Platform?
Take a look a under the hood of how an ICHRA with SureCo works in next week's webinar. Oscar’s hosting. Industry pros are joining. And we’re breaking down what makes our platform different and better for you and your clients.
Date: Wednesday, June 11, 2025
Time: 1p.m. ET | 10a.m. PT
Get a (virtual) front row seat—register now. Can’t make it? Register anyway, and we’ll send you the recording.
Scripted
When you offer ICHRA to your clients, they’re going to have (a lot of) questions, and so might your colleagues! Each month, we give you an (almost) real-life look at how clients and brokers are talking about ICHRA.
SCENE: Two brokers are chatting at happy hour after an industry conference. Todd has moved five clients to an ICHRA in the past three years. Chris is curious about ICHRA but still on the fence and worried about how the change will affect his comp.
Chris: ICHRA was the talk of this conference, and I'm definitely getting a lot more questions about it than I used to, but I've heard that moving a client away from group could have a negative impact on my compensation. If I'm not the BOR on the account, how do I get paid?
Todd: I get it, and had that same fear before I moved my first group over. But if you work with the right ICHRA admin partner, they'll make sure you stay whole by letting you set a PEPM in addition to their platform fees.
Chris: Interesting. But what about giving up the BOR designation?
Todd: Honestly, the way I look at it is that the money is the same whether I'm listed as the BOR or entering into a consultant agreement. But beyond the commission, offering an ICHRA has been a great way to build stronger relationships with my clients. The ones I’ve brought it to see me as someone who’s on their side, always looking out for them and bringing them new ideas.
Chris: Thanks for clearing that up, man. Really good to know. I have a few groups that are great fit for ICHRA.
Todd: You bet. You won't regret it.
Until Next Time
See you next month 👋