Which statement about Individual Coverage Health Reimbursement Arrangements (ICHRAs) is accurate?

The accurate statement about Individual Coverage Health Reimbursement Arrangements (ICHRAs) is that consumers must enroll in an ACA qualified individual health plan to use an ICHRA. This requirement is essential because ICHRAs are designed to be paired with individual health insurance policies that comply with the Affordable Care Act (ACA). This ensures that the coverage meets the minimum essential health benefits and other ACA mandates, allowing the reimbursement to qualify under regulations. Such a structure supports the use of ICHRAs as a means for employers to provide employees with a flexible way to receive health benefits tailored to their individual needs while complying with federal standards.

The other statements can be misleading or incorrect in emphasizing the broader application of ICHRAs. For instance, ICHRAs are not restricted to large employers, meaning that small employers can also offer them. Similarly, it is not necessary for consumers to purchase a plan directly from an insurer since obtaining an ACA-compliant plan can also occur through various exchanges or brokers. Additionally, ICHRAs are indeed subject to ACA regulations, making compliance with those regulations crucial for both employers and employees participating in these arrangements.