INDIANAPOLIS - A California-based private online health insurance exchange has set up operations in Indianapolis. eHealth Inc. (Nasdaq: EHTH) has announced plans to invest more than $10 million to establish its Eastern U.S. Technology and Operations Headquarters in Indy and create up to 500 jobs by the end of 2023. The Indiana Economic Development Corp. says the company has already hired 125 Hoosiers at its new location on the city's north side.

eHealth is currently occupying more than 56,000 square feet of space across two floors of an office building at 9190 Priority Way West Drive. The company has signed a lease to take over the entire building, covering more than 81,000 square feet, by November 2022.

"We are thrilled to be able to bring eHealth’s Eastern Headquarters and several hundred high-wage jobs to Indianapolis," Scott Flanders, chief executive officer of eHealth, said in a news release. "As a Hoosier native, I know that this is a great place to do business and find the talent we need to grow to service our rapidly expanding customer base. We are excited about this new chapter, and we look forward to continuing to expand our presence in the state. I believe in the local community and know Indiana’s leadership in the technology industry can help eHealth continue its success and rapid growth."

eHealth currently employs about 1,100 people among its west coast headquarters in Santa Clara, California, as well as its customer care centers in California, Utah and Texas. The company was founded in 1997 as eHealthInsurance and was responsible for the first internet-based sale of a health insurance policy in 1998, according to the IEDC.

"I couldn’t be more excited that CEO Scott Flanders and the team at eHealth chose Scott’s hometown of Indianapolis for their Eastern U.S. headquarters," said Indianapolis Mayor Joe Hogsett. “As a Midwest leader in technology and healthcare, Indy’s talent pipeline and quality of life make it an ideal choice for eHealth’s future growth. The new high-wage jobs announced today contribute to a greater ecosystem of opportunity for the residents of Indianapolis, and I congratulate eHealth on their continued success."

The IEDC has offered eHealth up to $11.3 million in conditional tax credits and $200,000 in training grants, which the company will not be eligible to claim until Hoosier workers are hired for the new jobs. The city of Indianapolis is also supporting the project.