Employers Are Ready for CHOICE. Are You?

Updated 2026-10-29

Employers are showing interest in CHOICE Arrangements, but many advisers have not yet sold one. Insurance Business’s reporting on TASC’s 2026 broker survey found that 54% of respondents had never sold an ICHRA, up from 47% in 2025. The gap is not simply a lack of awareness: implementation concerns are shaping recommendations.

Employee confusion was the most frequently reported concern, cited by 85% of respondents. Brokers also described longer enrollment processes, more administration than expected, network limitations, and cases where anticipated savings were not achieved. Those issues help explain why support has become more conditional even as employer adoption grows.

Separate research by EBRI and Morgan Health, as described in the report, found that about three-quarters of employers would be more likely to adopt an ICHRA if a broker, benefits consultant, or peer business recommended it. The study covered nearly 1,000 benefits decision-makers. That measures a response to a survey question—not a commitment to purchase after a recommendation.

Market growth supplies another reason to understand the product. The HRA Council reported more than 20,000 businesses offering ICHRA or QSEHRA and more than 500,000 ICHRA-covered lives at the beginning of 2026. It also identified larger employers as a fast-growing segment. These figures measure adoption; they should not be confused with broker confidence or guaranteed future demand.

The federal CHOICE name announced in September did not create a different reimbursement model. Existing eligibility, contribution, and compliance requirements still matter, whether a prospect uses the term CHOICE or ICHRA.

Agent Takeaway: Be ready to explain the mechanics, but also be ready to say when the model may not fit. Start with employee locations, current doctors and prescriptions, contribution goals, and the employer’s ability to support a change.

An informed recommendation should include a credible enrollment and service plan. Learning the product creates an opportunity; pairing that knowledge with realistic client-specific analysis is what makes the conversation useful.