What is a CHOICE Arrangement?
A CHOICE Arrangement — formerly called an Individual Coverage Health Reimbursement Arrangement (ICHRA) — lets an employer set a defined contribution (an allowance) that employees can use toward individual health coverage they choose.
In plain terms
Instead of picking one group medical plan for the whole workforce, the employer decides how much to contribute. Employees then shop for individual-market coverage. The employer reimbursement is the defined contribution; the employee picks the plan that fits. Employers may set different allowances for employee groups (permitted classes under ICHRA rules).
Who it is for
- Employers who want predictable spend and real plan choice for people across locations or employee groups.
- Brokers who design allowances, employee groups, and proposals — then guide the case in a workspace.
- Employees who need clear education on the allowance and how to use it.
What DefinedChoice does
DefinedChoice is the platform brokers and employers use: design the allowance, package the proposal, and guide employees — without turning the story into a spreadsheet pile.
Compare CHOICE vs. group → · Why we say CHOICE Arrangement →
See DefinedChoice in action
Open the workspace demo — built for brokers and agents — or request a quote for your book or benefits team.