“Do you work at home or go to the office?” It’s a common question as remote work has become a regular part of many jobs. If you’re an employer, you have the sometimes-tricky task of figuring out remote worker health insurance. Not to fear! We’ve got the 411 on how to take care of health insurance for remote employees.
In this article
How many people work remotely?
After the pandemic skyrocketed remote work, the number of people who go to the office has fluctuated. With so many changes in employee preference and job requirements, it’s a good time to ask: How many people work remotely, anyway?
According to the most recent Census Bureau data, 13.3% of U.S. workers usually worked from home in 2024(1). That’s more than twice what it was in 2019. Given that, even post-pandemic, a significant amount of people are in their home office, it’s important for employers to understand health insurance options for remote workers.
1 https://data.census.gov/table/ACSST1Y2024.S0801
Best health insurance for remote workers
ICHRAs are a great option for remote worker health insurance. Before we get into details, here is a quick ICHRA overview.
An ICHRA is a healthcare reimbursement arrangement. Employers give employees a monthly allowance and then they purchase their own individual health insurance. There are some massive benefits to having an ICHRA.
- Employers have maximum control over their budgets
- Employees get to choose the plan that is perfect for them
- Simple, flexible plan designs
- No employer responsibility for health risks
- No participation concerns
- Built-in compliance and regulatory protections
For employers with remote workers, ICHRA is an excellent choice because it provides unparalleled flexibility. Unlike traditional, one-size-fits-all group plans that can limit options by location, an ICHRA allows employees to select an individual health insurance plan that works best for their family in their specific area.
If you’re in HR, you’re likely tasked with researching solutions for remote worker health insurance. We can help! Here is how you can use an ICHRA to make your c-suite and your employees happy.
Deliver savings and choice with ICHRA
Leveraging ICHRA employee classes
On top of general ICHRA benefits, employers can also leverage ICHRA employee classes. These classes allow for really smart budgeting, and they can be tailored to meet the needs of specific employee groups, including remote workers in different locations.
Let’s say your headquarters is in one city, but you have groups of remote employees in other states. While your HQ might benefit from one insurance option, it might not be offered in areas where your remote employees work. Enter ICHRA employee classes. You can set a budget for 11 different classes, including geography, and set a unique contribution amount for each group. Headquartered in Texas and want to recruit from Pennsylvania, Georgia, AND Colorado? Dream big! ICHRA classes make it easy to recruit and retain talent with great health benefits.
Understanding ICHRA employee classes
6 ways to strategically define ICHRA employee classes
International companies with U.S.-based employees
If you’re running an international company and have U.S. employees, you’ve got a need for remote workforce healthcare solutions.
ICHRA can be a beacon for companies across the pond (or savannah) because of the tax advantages, personalized plans, streamlined administration, and cost control. The benefits are financially savvy while being adaptable to a geographically diverse workforce.
Guide for international companies
For benefits consultants with remote-heavy clients
With remote work becoming a norm, benefits consultants are getting more and more requests for flexible health insurance solutions. Employers want a smart solution, but they don’t have time to take on the daunting task of research.
It’s also hard for benefits consultants to know the minutia of every option, but that’s where we come in. Take Command works with thousands of benefits consultants throughout the U.S. We guide you through ICHRA and help you understand the very best option for remote worker health insurance.
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Remote worker health insurance FAQ
How many people work remotely in the U.S.?
According to Census Bureau data, 13.3% of U.S. workers usually worked from home in 2024(1). Pre-pandemic numbers were less than half that, with remote work coming in at 5.7% in 2019 and 4.3% in 2010.
1 https://data.census.gov/table/ACSST1Y2024.S0801
How do ICHRA classes affect remote workers?
ICHRA employee classes allow employers to categorize employees in 11 set classes and offer different levels of benefits to each class. One of the classes is geography, meaning that a group of remote workers in a particular state or area could potentially be their own class.
Understanding ICHRA employee classes
Does a remote worker have to be full time to participate in an ICHRA?
No, a remote worker does not have to be full time to participate in an ICHRA. Their employer can combine ICRHA employee classes for macro control of budget and employee offerings. For instance, an employer could establish a group of part-time employees who live in a certain state or area.
6 ways to strategically define ICHRA employee classes
Can an international company get an ICHRA for their U.S. employees?
Yes, an international company can get an ICHRA for employees in the U.S. It comes with the same ICHRA advantages (budget control, employee choice and much more). There are tax considerations including the nature of U.S. operations, double taxation agreements, and transfer pricing.
Guide for international companies
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