	Health Reimbursement Arrangement (HRA) A Health Reimbursement Arrangement can be used in conjunction with any existing insurance plan or benefit package. An HRA is an account funded by the employer to reimburse employees for qualified medical expenses. Unlike the Health Savings Account, the dollars are owned by the employer and are not portable should the employee leave the company. Overview of an HRA: ***TIP: If you expect to exhaust your HRA funds, you may use money from an FSA to fund the "bridge." Advantages of a HRA: Reimbursement amounts are deductible as a business related expense for the employer Preventive Care is covered at 100% without having to meet the deductible Empowers employees to better manage their own healthcare More affordable premiums Sample Plan: How does this plan pay? HRA funds pay first $1,000 for incurred medical expenses Employee responsible for the next $500 in medical expenses Incurred medical expenses after $1,500 will be paid at 90% for participating providers and 70% for non-participating providers. HRA Brochure (PDF) Frequently Asked Questions Who is eligible to set up and contribute to an HRA? Only employers can set up and contribute to an HRA on behalf of employees. Are HRAs portable? Employers determine whether the HRA balance will be forfeited if an employee leaves the job. How much money can be contributed to the HSA? There is no set limit for the amount of money an employer may contribute to an HRA. How are HRA funds accessed? Employees may use their issued HRA debit card or withdrawal form. How are HRA funds tracked? HealthSCOPE Benefits is partnered with US Bank to provide user-friendly web tools to track activity and monitor account growth. Who controls the use of the funds? The employer decides the amount of money contributed. Employees can draw funds for expenses allowed under the HRA plan. What happens to unused money left in an HRA? The IRS allows employers to determine if all or a portion of unused funds can be carried over from year to year. Employers are NOT allowed to "refund" any part of an HRA balance to employees. Can HRA funds be used to pay insurance premiums?** The IRS allows the use of HRA funds for health insurance premiums but it is up to the individual employers to decide whether their employees can use the funds for these purposes. Healthcare Resources HealthSCOPE Cost Estimator to help you understand your healthcare choices and provide some idea of the general costs for those services. HealthSCOPE Benefits also provides web tools to assist in locating a participating provider or facility, track HSA/HRA account balances, and claim payment status.

Health Reimbursement Arrangement (HRA)

A Health Reimbursement Arrangement can be used in conjunction with any existing insurance plan or benefit package. An HRA is an account funded by the employer to reimburse employees for qualified medical expenses. Unlike the Health Savings Account, the dollars are owned by the employer and are not portable should the employee leave the company.

Overview of an HRA:

*****TIP: If you expect to exhaust your HRA funds, you may use money from an FSA to fund the "bridge."

Advantages of a HRA:

Reimbursement amounts are deductible as a business related expense for the employer
Preventive Care is covered at 100% without having to meet the deductible
Empowers employees to better manage their own healthcare
More affordable premiums

Sample Plan:

How does this plan pay?
HRA funds pay first $1,000 for incurred medical expenses
Employee responsible for the next $500 in medical expenses
Incurred medical expenses after $1,500 will be paid at 90% for participating providers and 70% for non-participating providers.

HRA Brochure (PDF)

Frequently Asked Questions

Who is eligible to set up and contribute to an HRA?
Only employers can set up and contribute to an HRA on behalf of employees.

Are HRAs portable?
Employers determine whether the HRA balance will be forfeited if an employee leaves the job.

How much money can be contributed to the HSA?
There is no set limit for the amount of money an employer may contribute to an HRA.

How are HRA funds accessed?
Employees may use their issued HRA debit card or withdrawal form.

How are HRA funds tracked?
HealthSCOPE Benefits is partnered with US Bank to provide user-friendly web tools to track activity and monitor account growth.

Who controls the use of the funds?
The employer decides the amount of money contributed. Employees can draw funds for expenses allowed under the HRA plan.

What happens to unused money left in an HRA?
The IRS allows employers to determine if all or a portion of unused funds can be carried over from year to year. Employers are NOT allowed to "refund" any part of an HRA balance to employees.

Can HRA funds be used to pay insurance premiums?
The IRS allows the use of HRA funds for health insurance premiums but it is up to the individual employers to decide whether their employees can use the funds for these purposes.

Healthcare Resources
HealthSCOPE Cost Estimator to help you understand your healthcare choices and provide some idea of the general costs for those services.

HealthSCOPE Benefits also provides web tools to assist in locating a participating provider or facility, track HSA/HRA account balances, and claim payment status.