Group plans are built for office workers who stay put. Construction crews move across state lines, work seasonally, and change size every quarter. ICHRA follows the worker, not the job site. Talk to a licensed agent — free.
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A GC based in Texas with crews in Louisiana and Oklahoma can't offer one group plan that works well for all of them. ICHRA lets each worker use in-network coverage wherever they live.
Construction headcount swings 30–50% seasonally. Group premiums don't. ICHRA allowances start and stop with each eligible employee — no wasted spend in the off-season.
Between liability insurance, equipment, and workers' comp, margins are tight. A 15% group renewal increase is a real problem. ICHRA is a fixed line item — same every month.
Different amounts for field crew, project managers, and office staff. Fixed cost per class. Adjusts with headcount changes.
Each worker picks a plan in their own state's Marketplace — coverage that actually works where they live and receive care.
Workers submit premium receipts. You reimburse up to the allowance, tax-free and deductible. No group plan admin.
When a seasonal worker's employment ends, their allowance ends. No carrier calls, no mid-year plan changes, no paperwork.
Can a construction company offer ICHRA to workers in multiple states?
Yes — and this is one of ICHRA's most valuable features for construction. Instead of one group plan network that works in your home state but may not cover employees working in other states, each employee shops for a plan in their own state's Marketplace. A crew member who lives in Louisiana shops Louisiana plans; one who lives in Texas shops Texas plans. Coverage follows the worker, not the job site.
Does ICHRA work for seasonal construction workers?
Yes. You can set a waiting period (typically 30–90 days) before a new hire becomes eligible. For seasonal workers who return year after year, you can structure eligibility around your season. When a seasonal employee's work period ends and they're no longer employed, their allowance ends automatically. There's no group plan enrollment or dis-enrollment to manage with the carrier.
Can a general contractor offer ICHRA to subcontractors?
Generally no. ICHRA is a benefit for W-2 employees, not 1099 independent contractors. If your workforce is primarily 1099 subcontractors, ICHRA doesn't apply to them. However, any W-2 employees you have — office staff, project managers, direct employees — can receive ICHRA. A licensed agent can help you determine which workers qualify.
How does ICHRA's fixed cost structure help construction company cash flow?
Construction margins are tight and cash flow is lumpy. With a group plan, your monthly premium cost can change at renewal — often significantly. With ICHRA, your cost is exactly the allowance you set, and it only changes if you decide to change it. You can budget health benefits as a fixed per-employee line item, just like payroll. No renewal surprises in the middle of a project.