The Individual Coverage Health Reimbursement Arrangement (ICHRA) is a shift in the way health insurance is delivered. For many businesses, an ICHRA will provide a welcome alternative to traditional group health benefits.
Trovia, an ICHRA solution powered by Nexben, will help you to efficiently administer these modern models of employer-sponsored health insurance. We help employers, of any size, use pre-tax dollars to create a group health plan to reimburse employees for part or all their individual health plan premiums. Employees are given the opportunity and flexibility to shop for and purchase individual coverage that best fits their unique needs.
Case Study: Trovia ICHRA in Action
One of the benefits of an Individual Coverage HRA is that it can help save money. That savings is not just a shifting of costs from employer to employee, or a reduction in benefits. It can be a real reduction in dollars spent on health benefits.
One of our Trovia customers (a national manufacturer with about 300 eligible employees) was offered our ICHRA solution and found that not only did the employer’s costs drop but so did their employees. The employer found that their health insurance premium payments dropped from $1,822,096 to $1,311,281 (a savings of $510,815, nearly 30%). They then found that their employee’s premium payments went from $295,769 to $133,600 (a savings of $162,169, or 45%).
ICHRA Benefit: Cost Control
ICHRAs can help employers control their costs. Since an ICHRA uses a defined contribution approach to helping pay for health insurance benefits, an employer can manage the amount they spend per employee. This keeps their health benefit spend predictable from year-to-year.
An employee controls their costs because they are the ones in control of selecting their individual health insurance. They can find the plan that best fits their needs on the Trovia health insurance marketplace.
Trovia Benefits: Save Time
ICHRAs can help you save money, but Trovia helps you save time. For employees, they find their health coverage on the Trovia insurance marketplace. There they find all the plans available to them in one place, with many tools to help them find the insurance that best fits their needs.
Also, with Trovia there are no reimbursement forms or submissions required. Trovia works by having the premium payments taken out of an employee’s paycheck before taxes (just like a traditional group plan).
Trovia helps the employer save time by directing payments from the employer to the carrier each month. We automate the process, so you don’t have to worry about it.
Want to see if an ICHRA from Trovia can help you save money? Ask your insurance broker to give you a quote on one and compare it to your current plan. Or call us directly at 1-877-4TROVIA. You may be pleasantly surprised at what you find.