Ohio is at the forefront of a new benefits trend that's changing the way we talk about employee health insurance. The new model, called the individual coverage HRA (ICHRA), brings more flexibility and control for Ohio employers and more choice and personalization for Ohio workers. Here's why the state is uniquely positioned to win with this new trend and how Ohio businesses are using ICHRA.
As a quick refresher, the individual coverage HRA, a new type of HRA that was new January 2020, allows employers of all sizes to reimburse for individual health plans that their employees choose based on their needs. Reimbursements for premiums and medical expenses are tax-free for everyone and give employers more flexibility and control over their benefits plans and employees more choice and personalization.
Why Ohio ICHRAs are ahead of the curve
Individual coverage HRAs are most successful in locations with strong individual health insurance markets. Factors like individual premium pricing vs group pricing, carrier competition, the number of plans available and stability come into play here. Ohio checks all of the boxes.
Ohio has a whopping 344 health plans for individuals to choose from!
Ohio's major metros are poised for success with ICHRA. We've even put together individual guides for each city to help employees in those cities determine their best options for individual health insurance where they live. If you're considering ICHRA in one of these metros, see below to learn about the options employees will have.
- Cleveland Individual Health Insurance Options for ICHRA
- Cincinnati Individual Health Insurance Options for ICHRA
- Columbus Individual Health Insurance Options for ICHRA
How Ohio ICHRAs are reimbursing employees for health insurance
On average, Ohio business owners are reimbursing their employees $385.83 each month to cover the costs of health insurance. Lowest cost bronze plans in the area are $273.05 for singles and lowest cost silver falls at $304.67 for singles. Employer-sponsored group plans, on the other hand, typically only cover 70% of the cost of premiums, while the other 30% is out of pocket for the employee. For Ohio ICHRAs, 141% of the cost of the premium, in other words, well over the cost) is reimbursed through the HRA.
Health insurance carriers in Ohio
Ohio workers have so many choices of carriers. Here's a comprehensive list:
- Ambetter
- Anthem
- AultCare Insurance
- CareSource Just4Me
- Medical Mutual
- Molina
- Oscar
- Paramount Insurance
- Summa Care
Based on our clients' employees, the most popular carriers in Ohio include: Ambetter, CareSource Just4Me, and Molina.
What types of companies are opting for ICHRA?
Businesses of all sizes are offering ICHRAs and types of companies using ICHRA run the gamut! Associations, churches and non profits together take the lead spot, but blue collar service industry, tech, healthcare services, household workers, and those in the hospitality industry trend high as well.
Want to learn more about the Ohio ICHRA opportunity?
We are here for all the questions. Chat with us in the bottom right hand corner of your screen and our team of experts will fill you in on the Ohio ICHRA trend, how its changing the way we talk about health benefits in the state (and nationwide!), and how it could benefit your business or client.
A few more resources for you:
Let's talk through your HRA questions
I wrote this blog because I care about ideas (big and little) that can help fix our healthcare system. I used to work on projects for Kaiser Permanente and the Parkland Health & Hospital System so I've seen the system inside and out. It's so important that consumers keep up with industry shifts and changing health insurance regulations. I'm also Take Command Health's Content Editor and a busy mom. Learn more about me and connect with me on our about us page. Thanks!
