As the health benefits landscape continues to evolve, many employers are looking for new ways to offer coverage that balances flexibility, employee choice and predictable costs. One option gaining traction is the Individual Coverage Health Reimbursement Arrangement, or ICHRA.  

PersonalBlue is Blue Cross and Blue Shield of Nebraska’s (BCBSNE) ICHRA solution, designed to make health benefits easier to manage for both employers and employees.  

What is an ICHRA? 

An ICHRA is an employer-funded benefit that allows employees to be reimbursed, tax-free, for individual health insurance premiums and qualifying medical expenses.  

How ICHRAs work 

ICHRAs follow a defined contribution model. Employers decide: 

  • How much to contribute each month 
  • Which employees are eligible to participate 
  • Reimbursement guidelines 

Employees enroll in qualifying individual health insurance coverage and are reimbursed for eligible expenses up to the amount their employer sets.  

This approach differs from traditional group plans, where coverage options are limited, and renewal changes affect all employees.  

Benefits for employers 

ICHRAs were designed to help employers better manage today’s benefits challenges. Key advantages include: 

  • More predictable budgeting 
  • Flexibility for remote or multi-state teams 
  • Greater stability during organizational changes 
  • Reduced impact from high-cost claims 

Employers may also vary contributions for different classes of employees, such as full-time and part-time roles or different locations, within federal guidelines. Solutions like PersonalBlue support this approach by helping employers set defined contribution amounts and manage their benefits strategy while staying compliant. 

Choice and flexibility for employees 

ICHRAs are designed to give employees more control over their health care coverage. Instead of being limited to one or two group plans, employees choose an individual health insurance plan that best fits their personal needs, preferences and budget.  

PersonalBlue supports this flexibility by helping guide employees through plan selection and enrollment while providing access to trusted BCBSNE coverage options.  

When an ICHRA may be a good fit  

ICHRAs can be a strong option for employers seeking alternatives to traditional coverage, including organizations: 

  • Experiencing large renewal increases 
  • Seeing low participation in group plans 
  • Supporting remote or multi-state workforces 
  • Looking for greater flexibility and employee choice.  

PersonalBlue is designed to support employers in these situations by offering an ICHRA solution that helps manage costs, expand coverage options and adapt to evolving workforce needs. 

Where can I learn more? 

To learn more about ICHRAs and explore available coverage solutions and resources, call 888‑391‑8532 or visit NebraskaBlue.com/GetAQuote.