CHOICE Arrangement Act

This bill allows employers to offer "custom health option" arrangements (CHOICE) that pair with individual health insurance plans. It enables employers to fund these arrangements (with a fixed annual dollar limit) to reimburse employees for medical costs when they have individual coverage (like ACA marketplace plans or Medicare), rather than traditional group health plans. The arrangements must follow strict rules: they can't discriminate against employees in the same category (e.g., all full-time workers), require proof of individual coverage enrollment, and must provide clear written notices to employees. These changes apply to plan years starting after December 31, 2023.