Wakely modeling: CHOICE arrangements save money in some states, cost more in others; $50 vendor fee erases savings in mid-priced states
Key points
- South Carolina individual ACA premiums are estimated at least 50% above small group in 2027
- If small employers shift to CHOICE, South Carolina individual ACA enrollment could rise 2.4% to 7.6%; Iowa 0.0% to 0.3%
- A $50 monthly vendor fee erases savings in mid-priced states; authors caution against extrapolating to other states
An October 2026 Wakely Consulting Group white paper modeled CHOICE (formerly ICHRA) adoption in South Carolina, Iowa and Tennessee. In South Carolina, where individual ACA premiums are estimated at least 50% above small group in 2027, individual enrollment could rise 2.4% to 7.6%; in Iowa, 0.0% to 0.3%. A $50 vendor fee erases savings in mid-priced states, and the authors caution against extrapolating to other states.
Original report: Insurance Business ↗AI-assisted brief; may contain inaccuracies. Rely on the original reports and official documents. For information only; not legal, immigration or insurance advice.