Willis Towers Watson introduces suite of services in support of ICHRAs — individual coverage health reimbursement arrangements
Health care cost uncertainty is diminished for employers offering defined contribution HRAs; employees can shop for plans on the individual market with white glove service from Willis Towers Watson.
ARLINGTON, VA, February 4, 2020 — Willis Towers Watson (NASDAQ: WLTW), a leading global advisory, broking and solutions company, announced today that they now offer individual coverage health reimbursement arrangement (ICHRA) solutions to existing and new employer clients through their employee Health Benefits Consulting and Administration businesses. Since 2006, Willis Towers Watson has partnered with over 100 health insurance carriers, guiding millions of people to find and enroll in individual health insurance coverage.
“Since the final health reimbursement arrangement (HRA) rule last June, companies were given a potentially game-changing way to provide health care coverage to their populations that could become the 401(k) of health insurance,” said John Barkett, senior director, Policy Affairs, Willis Towers Watson. “Employers that want to forgo the ongoing exercise of managing plan design, carriers, networks and formularies can now meet their employees’ diverse needs and improve the predictability of annual health care costs for their business. The ICHRA model might be the perfect option for companies committed to keeping the long-standing, employer-sponsored health care tradition but want to swap the one-size-fits-all group health insurance plan for a more personalized, defined contribution approach.”
In this new type of health insurance coverage, employees choose where their benefit dollars are spent by purchasing their preferred plan on the individual market and receiving a reimbursement through an employer-sponsored HRA.
Willis Towers Watson helps employers decide if an ICHRA is right for their organization by:
Financial opportunity analysis. Running the numbers to compare the cost of individual insurance for employees to the cost of the current group health plan
Individual insurance market assessment. Assessing the key markets where employees reside to understand the range of available health insurance options
Program strategy and design. Leveraging Willis Towers Watson’s individual market experience and employee benefit expertise to develop an ICHRA solution that matches the workforce’s needs
In addition, Willis Towers Watson provides employer subsidy management through HRA administration, while helping employers comply with new ICHRA reporting requirements.
With health plan selection now in the hands of employees, Willis Towers Watson also provides employers with configurable communications to ensure their employees are well prepared for the transition from group coverage to individual health insurance. The offering includes best-in-class navigation assistance while shopping for and enrolling in individual health insurance, and employee advocacy for the life of the enrollment.
“The new HRA rule allows Willis Towers Watson to continue to do what we do best: analyze an employee population, evaluate which health plan and benefit solutions address key concerns, and then build and administer health and benefit plans that manage employer cost and risk — all while keeping workforces healthy and productive. ICHRA presents one new option for employers in our toolkit as we consult on the best fit for our clients’ needs,” said Ben Pajak, Individual Marketplace leader, Benefits Delivery and Administration, Willis Towers Watson.
Over 120 Fortune 500 companies use Willis Towers Watson’s Individual Marketplace, with a remarkable 98% participant satisfaction rate. Their fully owned and integrated HRA administration solution has delivered over $14 billion in reimbursements for individual health insurance premiums and out-of-pocket costs. Willis Towers Watson’s decades of experience advising both employers and individuals on their health care benefits positions them as a leader in developing and delivering effective ICHRA solutions.
For more information on Willis Towers Watson’s ICHRA suite of services, please visit ichracoverage.com.
About Willis Towers Watson
Willis Towers Watson (NASDAQ: WLTW) is a leading global advisory, broking and solutions company that helps clients around the world turn risk into a path for growth. With roots dating to 1828, Willis Towers Watson has 45,000 employees serving more than 140 countries. We design and deliver solutions that manage risk, optimize benefits, cultivate talent and expand the power of capital to protect and strengthen institutions and individuals. Our unique perspective allows us to see the critical intersections between talent, assets and ideas — the dynamic formula that drives business performance. Together, we unlock potential. Learn more at willistowerswatson.com.
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