If your employer offers an Individual Coverage Health Reimbursement Arrangement (ICHRA), you may still qualify for Marketplace savings - but it depends on whether the ICHRA offer is considered affordable based on your income and the cost of coverage in your area.
How an ICHRA affects Marketplace savings
An ICHRA gives you money from your employer to help pay for a Marketplace plan.
When you apply for coverage, you’ll enter your employer’s ICHRA details (from the official notice they provided).
The Marketplace will calculate if the offer is affordable according to IRS rules.
If the ICHRA offer is affordable, you will not qualify for premium tax credits (Marketplace savings).
If the offer is not affordable, you may still qualify for savings - but the ICHRA funds and Marketplace tax credits can’t be used together for the same plan.
Subsidy impact
If you accept the ICHRA offer, you can’t claim Marketplace premium tax credits.
If you decline the ICHRA offer and it’s deemed unaffordable, you may qualify for Marketplace savings instead.
How to check affordability
Your employer’s ICHRA letter should include the details you need to check if the offer is affordable. You can also use the ICHRA affordability calculator on HealthCare.gov to estimate your eligibility.
Need help?
If you’re unsure how to enter your ICHRA details or want help comparing your options, contact our Consumer Advocate team at 855-772-2663, Monday–Friday, 6am–4pm PT.