How does the Patient Protection and Affordable Care Act (PPACA) change the rules for reimbursing over-the-counter medicine and drug costs from employer-sponsored health accounts, such as Flexible Spending Accounts (FSAs) and Health Reimbursement Arrangements (HRAs)?
How will the new reimbursement rules apply to distributions from Health Savings Accounts (HSAs) and Archer Medical Savings Accounts (Archer MSAs)?
When will the reimbursement changes become effective?
Does this change apply to over-the-counter medical devices and supplies?
Are prescriptions required in order to use FSA, HRA, HSA, or Archer MSA funds for insulin purchases
after December 31, 2010?
Can FSA, HRA, HSA, or Archer MSA funds still be used to reimburse copayment and deductible expenses after December 31, 2010?
If a claim for over-the-counter medicines purchased in 2010 is submitted after December 31, 2010, do the expenses still qualify for reimbursement?
If an employer-sponsored account, such as an FSA, includes a grace period extending into 2011, will purchases of over-the-counter medicines without a prescription made during the grace period remain reimbursable?
What proof is required for reimbursement of over-the-counter medications purchased with a prescription?
Can plan-issued debit or credit cards be used to purchase over-the-counter medicines after December 31, 2010?
If members use HSA or Archer MSA funds to reimburse the cost of over-the-counter medications purchased without a prescription after December 31, 2010, what taxes will they incur?
This information is provided for informational purposes only and does not constitute legal advice. Please consult your legal counsel regarding your specific situation.
Please note that this content is only intended to describe national health care reform requirements under the Patient Protection and Affordable Care Act (PPACA). It does not address Massachusetts law requirements or the potential impact of Massachusetts law on federal PPACA requirements.
For purposes of PPACA implementation, Blue Cross Blue Shield of Massachusetts assumes the plan year is the policy year, unless an account notifies us otherwise.