We’ve got great news here at PeopleKeep—last week brought a major win for small business health benefits.
After several months of work, the federal government finalized a rule that creates two new health reimbursement arrangements (HRAs) and increases HRA flexibility for all businesses.
The highly anticipated final rule, which was released Thursday, June 13, adds two new HRA options for the 2020 calendar year. Beginning January 1, 2020, businesses can offer an individual coverage HRA (ICHRA) and an excepted benefit HRA to their employees.
The new HRAs are available to businesses of all sizes, but we believe the ICHRA will especially benefit small businesses looking for new alternatives to group health insurance.
In this post, we’ll briefly go over the background on the new rule and what it does. Then, we’ll cover how the final rule differs from the proposed rule released last year, what the final rule means for small businesses, and how you can learn more about the ICHRA.
Let’s dive in.
