A Health Reimbursement Arrangement (HRA) is an excellent benefit option more and more employers are offering every day.

With an HRA, employers fund a health account that you can access to get reimbursed for eligible medical expenses. An HRA can work as a standalone benefits account, or it can work in conjunction with a Healthcare Flexible Spending Account (FSA), although you can’t be reimbursed twice for the same expense. In addition, any remaining funds in an HRA may be rolled over to the next year.

Your HRA is governed by IRS Regulations that details who is eligible to use the account and what, where, and how the money in it is to be used.

Your HRA was designed to be simple. To keep it that way, it’s important to comply with the IRS Regulations that govern the program. The following guidelines will help you avoid any inconvenience.

1. Make sure account funds are only spent on those who are eligible. Typically, those eligible are you, your spouse and your eligible dependents.
2. Know what expenses are eligible. You can see what expenses are eligible here.
3. Keep your receipts. Save receipts that describe exactly what you paid for and when, just like you would to deduct them on your taxes.
4. Watch where you shop. If using a Healthcare Card, shop only at general merchandise stores or pharmacies that have an IRS-approved inventory system in place. Visit www.sig-is.org for the most updated list of approved merchants.
5. Keep an eye on your HRA account. Watch your online statements to see if you need to verify any Card purchases with receipts, or check HealthEquity for the latest information.
6. Register for an online account at HealthEquity. When you register online and provide a current email address, you ensure that you will have 24/7 access to your account and funds. You’ll also receive important email updates, such as claims and status notifications.

1. Your Healthcare Card is only for use at healthcare providers and pharmacies and general merchandise stores that have an IRS-approved system that can identify HRA eligible items at the register. In most instances, your Card transaction will be automatically verified at checkout, which means you will not have to submit a receipt to WageWorks after the transaction. You are, however, required to keep each receipt for tax purposes, and in the event it is needed for verification.
2. When you swipe your Card at the checkout, choose “credit” (even though it isn’t a credit card).
3. Go to www.sig-is.org to review a list of qualified merchants that accept the Card.
4. Pay for services or purchases on the same day you receive them. If your health plan covers a portion of the cost, make sure you know what amount you need to pay before using the Card, by presenting your health plan member ID card first, so the merchant can identify your co-pay or co-insurance amount and ensure the service is claimed to your healthcare, dental, or vision insurance plan.
5. Save your receipts. Even when your Card is approved, a detailed receipt may still be requested; your statement will have a Card Use Verification form at the front and will let you know what to do.
6. If you’ve lost or can’t produce a receipt for an expense, your options may range from submitting a substitute receipt to paying back the plan for the amount of the transaction.
7. If you use your Card at a doctor’s or dentist’s office we will most likely ask you to submit a receipt for verification. Failure to do so may result in your Card being suspended.
8. If you lose your Card, please log into your account to report your card lost/stolen. Click on the "Card Center" tab at the top and then select “Order Replacement Card” from the tabs on the left. Follow the steps for issuing a new card. You will be responsible for any changes until you report the lost Card.

You can pay many of your eligible healthcare expenses directly from your HRA account with Pay My Provider.

There’s no need to fill out paper forms. It’s quick, easy, secure and available online at any time. Review the Claim and Card Use Verification Checklist.

1. Log into your HRA account at HealthEquity.
2. Click “Submit Receipt or Claim.”
3. Request “Pay My Provider” for healthcare and follow the instructions.
4. When you’re done, we will send a check directly from your account. If you pay for eligible recurring expenses follow the online instructions to set up automatic monthly payments.

1. Go to HealthEquity and download a Healthcare Pay Me Back claim form.
2. Fill in all the information requested on the form, attach your receipts, sign it, and follow the instructions to fax or mail it. (A receipt or an explanation of benefits from your insurance carrier outlining what the service was that you incurred, for whom the service was provided, and how much you paid for the service, will be required along with your claim form.)
3. To speed processing, remember to save receipts that show exactly what you paid for and when.
4. Most claims are processed within one to two days after they are received and payments are sent shortly thereafter.

Eligible expenses under an HRA plan are determined by your employer and might include:

• Health insurance deductibles
• Co-insurance and co-pays
• Other expenses included in IRS Publication 502—Medical and Dental Expenses as eligible or qualified expenses
• Eligible expenses must be incurred by the employee and/or eligible members of the employee’s family, and take place within the benefit plan year.
• Qualified medical expenses include those expenses defined by your employer that comply with the Internal Revenue Code. These expenses may include deductibles, co-insurance, prescription drugs, vision care, and dental care. To determine if an expense is eligible for reimbursement under your employer’s plan, please refer to your employer’s summary plan description or contact WageWorks customer service.
• You can find a general list of IRS-approved health-related reimbursements in Publication 502, which is accessible online at www.irs.gov. Please remember that eligible medical expenses may vary by employer.

1. Medical expenses that are not defined as eligible expenses by your employer.
2. Medical expenses that do not meet IRS Section 213(d) requirements.
3. Medical expenses incurred by you or your spouse or eligible dependents before your participation in the program was effective.
4. Medical expenses that can be reimbursed to you through any other source, such as group health insurance or a self-funded group health plan.
5. Examples of expenses that are not eligible for reimbursement include nutritional supplements, illegal operations and treatment, health club dues and cosmetic surgery (unless medically necessary).

You can find a general list of IRS non-eligible health-related expenses in Publication 502, which is accessible online at www.irs.gov.

If you have both accounts, expenses eligible under both plans are first reimbursed through your Healthcare FSA.

Medical expenses can be reimbursed for spouses and children of Integrated HRA participants if you certify that the dependent was covered under the Affordable Care Act (ACA)-compliant employer-sponsored group health plan (yours, your spouse’s, or their own) on the claim service date. You will need to: Provide the dependent’s full Social Security Number and Date of Birth.

• This information can be entered along with your claim on our website or mobile app.
• You can enter this information independent of the claim via your online account on the Profile > HRA Dependents page.
• Date of Birth (DOB) and Social Security Number (SSN) for each dependent will be saved upon entry. You will not need to re-enter the information on future claims.
• For security reasons, we do not collect this information on the Integrated HRA claim form.

Yes, you have an HRA that is embedded into your health insurance plan. Use your HRA to help offset your deductible and co‑insurance.

According to the IRS, your employer owns your account.

According to IRS rules, HRAs are fully owned and funded by the employer.

Typically, no. Under most HRA plan rules, the accounts aren’t individually owned bank accounts that are eligible to earn interest.

Any funds in your HRA when you terminate are forfeited. There are options available for active employees to elect COBRA to continue their health insurance plan. You should contact your insurance coordinator for more information on COBRA.

If you retire you may be eligible for a retirement plan that allows you to continue your HRA enrollment. For information on available retirement options please contact DEI Member Service Branch at 888-581-8834.

Yes, it will roll over if you elect the same plan from year to year. The maximum carryover amount each year is $7,500 as long as you elect the same plan year to year.

The IRS requires that medical expenses reimbursed through an HRA must be primarily for the diagnosis, treatment or prevention of disease.

For example, your doctor may prescribe a vitamin to treat your medical condition. Because vitamins are generally considered an ineligible expense, you will need a letter from your medical provider detailing the type of service rendered and the treatment necessary.

Download the Letter of Medical Necessity form here

View the list of eligible expenses for more information.

The IRS has changed mileage reimbursement rates for medical care effective based on the date the service is incurred. As of January 1, 2023, mileage for travel to/from eligible healthcare services is $0.22 per documented mile.

Please include the following information with your mileage claim:

• Date of Service
• Type of Service (doctor visit, trip to pharmacy, etc.)
• Actual Mileage and rate (10 miles round trip @ $0.22/mile)
• Total amount being requested (10 x .22 = $2.20)
• Submit the claim for mileage along with a Pay Me Back claim or with the Explanation of Benefits (EOB). Claims will need to match the mileage reimbursement to a service and its date.
• A change in cost in coverage
• Many online mapping services will detail your route and mileage from home to service provider. This is helpful (but not required) in submitting mileage reimbursement claims.