ICHRA (Individual Coverage Health Reimbursement Arrangement) lets you reimburse employees for health insurance premiums (and optionally medical expenses) on a tax-free basis. It can be more cost-effective than a group plan and offers flexible coverage options for employees.

Yes. ICHRA was introduced in 2019 and is fully compliant with IRS and Affordable Care Act (ACA) regulations. SimplyHRA ensures you stay up to date with legal requirements.

You decide how much to reimburse—there’s no minimum or maximum. You can even set different reimbursement amounts for different classes of employees (e.g., part-time, full-time, or by location). SimplyHRA will help every step along the way.

Yes. You can create separate “classes” (e.g., full-time vs. part-time) and allocate reimbursement amounts accordingly, as long as you comply with the rules for defining these classes.

No. SimplyHRA automates claim submissions and reimbursements. You set your plan parameters, and our platform handles the paperwork for you.

Employer reimbursements are generally tax-deductible as a business expense. Employees receive reimbursements tax-free, provided they hold qualifying individual health insurance.

If you value budget control and want employees to pick their own coverage, an ICHRA may be a better fit. For employers who prefer a single group plan with standardized coverage, a traditional plan could be considered—but often at a higher cost.

Employees must have qualifying coverage to receive reimbursements. If they opt out or do not enroll, they won’t be reimbursed. SimplyHRA only pays for valid expenses, so there’s no cost to you for employees who remain uninsured.

Sign up at SimplyHRA.com, create your employer account, and set your reimbursement rules. The platform guides you step-by-step through defining budgets, classes, and compliance details. If you have any other questions, please contact SimplyHRA.

With ICHRA, your employer reimburses you for health insurance premiums (and possibly medical expenses). You choose your own plan, which can be a marketplace plan or private coverage, and get reimbursed for the portion your employer sets.

You need to choose a qualifying individual health insurance plan. This can include ACA marketplace plans, private plans, or Medicare (if eligible). Short-term or health sharing ministry plans typically do not qualify.

You’ll submit proof of payment (such as receipts or statements) through the SimplyHRA platform. Once verified, your employer reimburses you up to the set allowance.

Generally, you need to enroll in a plan during the ACA’s open enrollment or a special enrollment period (e.g., loss of other coverage). However, ICHRA itself often triggers a special enrollment period, allowing you to sign up for coverage outside standard open enrollment windows.

No. As long as you have a qualifying health plan, your employer’s reimbursements for premiums and/or medical expenses are tax-free.

It depends on whether your employer’s ICHRA plan design includes family coverage. If it does, you can be reimbursed for premiums covering your spouse and dependents, provided they have qualifying coverage.

ICHRA coverage is tied to your employment. Once you leave, your employer stops reimbursing you. However, you keep the individual policy you purchased, so you won’t lose your health insurance—just the reimbursement benefit.

Any costs over your employer’s monthly allowance are your responsibility. You’ll pay the difference out of pocket.

While SimplyHRA doesn’t directly select a plan for you, our platform provides resources and tips to help you find the right coverage. If you need personalized advice, you can consult a licensed insurance broker or use the ACA marketplace.

You can typically change your plan during the ACA’s open enrollment period or if you experience a qualifying life event (e.g., marriage, birth of a child). However, keep an eye on enrollment deadlines to ensure you stay covered.

Simply have your employer create an employer account at SimplyHRA.com and have them invite you to their team. Once invited, the platform guides you step-by-step through your healthcare plans, reimbursements, and more. If you have any other questions, please contact SimplyHRA.