5 Tips for Managing an ICHRA-to-ICHRA Transition | How to Switch ICHRA Vendors Smoothly

If you work with ICHRAs, you know the call: a client already has an ICHRA, but they’re frustrated with how it’s being managed.

Maybe onboarding was chaotic.

Maybe reimbursements were delayed.

Maybe a vendor’s interpretation of compliance created unexpected problems.

As the ICHRA market expands and new platforms pop up every week, these situations are becoming routine. The good news? When handled well, transitions like these can actually strengthen client relationships if you’re a broker. And if you’re an employer, they can build greater trust with your employees.

Here are five key lessons from helping employers and brokers navigate these transitions.

1. Compliance Guidance May Differ, Even When It Shouldn’t

The law is the law. But that doesn’t mean ICHRA platforms interpret it the same way. One vendor may enforce stricter class definitions or notice deadlines, while another takes a more flexible view. Before transitioning, review compliance documentation side by side to understand what will change and ensure the employer remains protected. What passed under the old vendor’s policy might need adjustment under the new one.

2. Get Member IDs and Payments Ready Before Day One

Few things frustrate employees faster than losing access to care mid-year because of delayed payments or missing IDs. When switching platforms, confirm that employees have their Member IDs ready and that all premium payments are processed and reconciled, and that carriers recognize the new payment source. Preparation here prevents the most visible and avoidable disruptions.

3. Don’t Change ICHRA Funding Mid-Year

It’s tempting to use a transition as a chance to clean up your funding model. Resist the urge. Changing contribution levels or employee classes mid-year creates compliance headaches and confusion. If you need to update methodology, for example moving from age-banded to flat-rate allowances, plan it for the next plan year.

4. Expect and Plan for Autopay Disruptions

Autopay is one of the most common failure points during ICHRA transitions. Bank accounts, carrier integrations, and employee reimbursements can all break in the handoff. Do a dry run. Confirm routing details, authorization settings, and payment permissions before deactivating the old system. If possible, maintain a one-billing-cycle overlap to catch missed payments and prevent coverage gaps.

5. Communicate Like a Change Manager

Transitions fail when employees feel blindsided. Frame the change as an upgrade, not an overhaul. Give HR, leadership, and employees clear, consistent talking points: what’s changing, what’s staying the same, how it benefits them, and who to contact if something doesn’t look right. Proactive communication turns a potential disruption into an opportunity to rebuild confidence and trust.

Final Thought

ICHRA-to-ICHRA transitions are part of the market’s natural evolution. Interested in learning more? Venteur’s Director of Broker Partnerships, Jason Handley, is leading a webinar on how to manage ICHRA-to-ICHRA transitions smoothly, including pitfalls to avoid and how to make these moves seamless. Register here.