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Excepted Benefit HRA

Looking to add Benefits for your employees, check out this approach

Excepted Benefit Heath Reimbursement Arrangement (EBHRA)

This unique HRA (Health Reimbursement Arrangement) allows employers the opportunity to add Benefits to their Group Health Insurance without large price tags.

Most Health insurance for employees lacks coverage in certain areas. Maybe the Group Health Plan does not appeal to your employees. This gives you the opportunity to bring something else to the table.

If you have Traditional Group Health Insurance this HRA is designed for smaller benefits. The employer is only allowed to contribute $1,950 annually per employee under this Arrangement. Typically the benefit covered is Dental or Vision That are not covered but Group Health Insurance.

Excepted Benefits HRA works the same as other HRA's. The company offers the benefit. The employee accepts or declines the benefit. The employees find the coverage that fits their needs. The premium comes out of the employee's personal account, they submit a claim to get reimbursed to the company's Administrator tax free.

Most EBHRA claims come in well under the annual allowance of $1,950/ year making this plan affordable and attractive for both the company and the employer. The employer can choose to contribute any amount towards this plan (up to $1,950/yr) so the price is really determined by the business owner. If you are interested in this Arrangement give us a call. Its incredibly affordable!

Jon Courchaine- Owner- Aloe Health Insurance

Published 03-11-2023

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