New qualified expenses added for HSAs, HRAs and FSAs

,We remain focused on our commitment to providing our clients access to care and easing their financial burden related to COVID-19. A new federal law expands how members can use their health savings accounts (HSAs), health reimbursement accounts (HRAs - Employee Pay), and flexible spending accounts (FSAs):

• Employees can now use these accounts to purchase over-the-counter (OTC) medicines that had previously required a prescription. They can also use the accounts to purchase menstrual products. This will help them save on health care costs because the funds in these accounts are pre-tax.

• For now, Employees may need to pay for these items out of their pockets and file claims for reimbursement. They'll need to keep their receipts for these purchases. All eligible purchases they make after December 31, 2019, qualify.

• They'll be able to use their debit cards soon. Retailers are updating their systems to accept the cards for the newly approved items. Some stores may be ready now for OTC medicines and by May 15 for menstrual products. Others may need several weeks for the update.

Employers don't need to do anything to make this change happen. It was made as part of the federal Coronavirus Aid, Relief, and Economic Security Act (CARES Act), which was signed into law March 27. It went into effect immediately.

Here's an employer flier and an employee flier from ANTHEM, you can share, letting your employees know about the changes.

We're steadfast in our commitment to support you and ensure our clients have affordable access to care. We'll continue to provide you  with resources and updates related to COVID-19.