CHOICE in Action: Ohio Employers Explore New Approach to Health Benefits

CHOICE in Action: Ohio Employers Explore New Approach to Health Benefits

Federal leaders spotlight CHOICE Arrangement to aid Ohio small businesses in delivering flexible and affordable healthcare to workers

The Centers for Medicare & Medicaid Services (CMS), the Small Business Administration (SBA), and Take Command , the first provider of Individual Coverage Health Reimbursement Arrangements (ICHRAs) in the country, partnered to bring together policymakers, industry experts, and Ohio businesses for a meaningful conversation about the future of employer-sponsored health coverage at CHOICE in Action: Ohio.

Dr. Mehmet Oz, Administrator for CMS, along with Bill Briggs, Deputy Administrator for SBA, heard directly from Ohio employers and workers about how the new approach to employer-sponsored healthcare is helping small businesses tackle rising group insurance costs. Key members of the CHOICE ecosystem were in attendance, including carriers, brokers, and members of the HRA Council.

Established during President Trump's first Administration, ICHRAs expanded employers' options by enabling them to make tax-favored contributions toward qualifying individual health insurance or Medicare coverage instead of offering a traditional group health plan.

Recently renamed from ICHRA, CHOICE Arrangements let employers provide employees with a tax-advantaged contribution toward individual health coverage instead of a traditional group health plan. Employees can use the contribution toward qualifying individual coverage based on their own healthcare needs and preferences.

"Ohio's small businesses deserve healthcare options that prioritize affordability, expand access to coverage, and give both employers and employees greater flexibility," said CMS Administrator Dr. Mehmet Oz. "CHOICE Arrangements offer a practical alternative to traditional group health insurance, helping Ohio employers better manage healthcare costs while empowering workers to choose coverage that meets their individual needs. The experiences that Ohio businesses shared today demonstrate the real-world impact of CHOICE."

"For too long, small businesses have had to choose between costly group plans and offering no health benefits at all," said SBA Deputy Administrator Bill Briggs. "CHOICE Arrangements give Ohio's job creators another option. Under CHOICE Arrangements, small business owners control their costs, compete for talent, and their workers get to choose their own coverage."

"Businesses in Cleveland and beyond are facing rising healthcare costs that make it difficult to offer competitive benefits while managing their budgets," said Jack Hooper, CEO of Take Command. "CHOICE Arrangements give employers greater control over their health benefit costs while giving employees the freedom to choose coverage that best fits their individual needs. By expanding options on both sides, CHOICE helps Ohio businesses offer quality health benefits at a price point both they and their employees can afford."

To learn more about CHOICE Arrangements for Ohio businesses, visit https://www.takecommandhealth.com/blog/ohio-ichra and www.cms.gov/choicearrangements .

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