Affordable High-Quality Health Insurance
in North Carolina
ICHRA empowers North Carolina employers to offer personalized health benefits without the unpredictability of traditional group plans. Instead of selecting one plan for everyone, you set a monthly allowance and let each employee choose coverage that fits their needs—while you control your budget.
In today's fast-changing world, employers need more innovative, more affordable ways to provide health insurance. Individual Coverage Health Reimbursement Arrangements (ICHRAs) offer a flexible, cost-effective solution for businesses of any size. ICHRA combines the tax advantages of employer-sponsored coverage with the flexibility employees want.
Set your monthly allowance and budget with confidence: no surprise renewal increases or claims-based adjustments. You decide what you spend—period.
Every employee chooses their own plan based on their doctors, prescriptions, and family needs—not a one-size-fits-all group policy.
ICHRA satisfies the employer mandate for applicable large employers (50+ FTEs) when structured to meet affordability requirements.
Employer contributions are tax-deductible. Employee reimbursements are tax-free. Everyone saves compared to after-tax premium payments.
No more managing renewals, negotiating with carriers, or worrying about participation rates. Set allowances and let employees handle the rest.
Employees own their individual plans. If they leave, they keep their coverage—reducing COBRA headaches and improving retention conversations.
How ICHRA Works
ICHRA flips the traditional model—you fund, they choose.
Step 1: Set Your Budget. Decide how much to contribute monthly. You can vary amounts by employee class (full-time, part-time, geography, age).
Step 2: Employees Enroll. Each employee selects an ACA-compliant individual plan through the marketplace or directly from a carrier.
Step 3: We Handle It. Health Plans of NC guides employees through plan selection to help them maximize their allowance.
Step 4: Tax-Free Reimbursement Employees submit proof of coverage and receive tax-free reimbursements through payroll—automatically.
Feature | ICHRA | Group Plan |
Predictable employer costs | ✓ | ✗ |
Employee plan choice | ✓ | ✗ |
No participation minimums | ✓ | ✗ |
Available to any employer size | ✓ | ✓ |
No annual renewal negotiations | ✓ | ✗ |
Coverage is portable if the employee leaves | ✓ | ✗ |
Tax-advantaged for employers | ✓ | ✓ |
Satisfies the ACA employer mandate | ✓ | ✓ |
ICHRA works for businesses of all sizes. Here's who benefits most:
You've wanted to offer benefits but couldn't meet participation requirements or afford group premiums. ICHRA changes that.
No minimum participation—even if only one employee enrolls
Compete with larger employers for talent
Simple to set up and maintain
Group plan renewals are eating into your budget and limiting your flexibility. ICHRA lets you control costs as you scale.
Meets ACA employer mandate requirements
Offer different allowances by employee class
Escape the renewal increase cycle
Employees in different states need access to local providers and networks. ICHRA makes nationwide benefits simple.
Employees choose plans with their preferred doctors
No group network limitations
Vary allowances by geography if needed
Part-time and seasonal employees have been tough to cover. ICHRA's flexibility changes the equation.
Different classes for FT, PT, and seasonal workers
Coverage starts when you say—no waiting periods required
Employees can keep coverage after seasonal work ends
It depends. If your ICHRA offer is "affordable" (employee pays less than 9.96% of household income for the lowest-cost silver plan after allowance), they cannot receive subsidies. If it's unaffordable, they can decline ICHRA and claim subsidies instead.
There's no federal minimum. However, to satisfy the ACA employer mandate for ALEs, contributions must meet affordability thresholds. We'll help you model the right amounts.
Yes! You can vary allowances by employee classes: full-time vs. part-time, salaried vs. hourly, geographic location, and age. The rules are flexible—we'll design a structure that fits your team.
During open enrollment (November 1 – January 15) or within 60 days of a qualifying event—including being newly offered an ICHRA. New hires get a special enrollment period when they become eligible.
They keep their individual plan—they just stop receiving your reimbursement. No COBRA administration headaches. They can continue paying premiums directly or find new coverage.
We partner with specialized ICHRA administrators who handle verification, reimbursement processing, and compliance documentation. Your involvement is minimal once it's set up.
Blue Cross NC Provider Internal Data; Percentages indicated represent Blue Cross NC’s PPO Network as of May 11, 2018. Note: Not all plans are available in all areas.
U.S. News & World Report, (Accessed September 2017).
Atrium Health, (Accessed September 2018).
NOTICE: Deductibles, coinsurance, limitations and exclusions may apply to coverage. Further costs and details of coverage, limitations and exclusions, and terms under which the policy can be continued in force will be provided in your free information package.
U9144b, 10/18
