Health Reimbursement Account (HRA) Implementation

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Jayson Mills
6 years ago
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1 Health Reimbursement Account (HRA) Implementation

medical expenses Funded solely by the employer Employer contributions are excludable from income, and are not part of the employee s tax burden

3 What is an HRA? An HRA is an employer sponsored benefit program, under which participants and their eligible dependents may receive reimbursement for eligible medical expenses Funded solely by the employer Employer contributions are excludable from income, and are not part of the employee s tax burden Contributions are set by the employer No contributions limits set by the IRS HRAs do NOT cover non-medical expenses Leftover HRA balances may be rolled over from year to year or may be subject to time limitations based on the program sponsor 2017 WageWorks Inc. All rights reserved. 3

4 HRA Capabilities Standard HRA Capabilities Custom HRA* Perpetual or annual plans No contributions limits are set by the IRS. Limit may be set by the employer. An HRA may also be offered alongside a Health Care FSA. In most cases, the FSA will be setup to pay first, with the HRA paying out after the FSA funds have been exhausted. If plan permits, upon the death of an account holder, the account may continue to be used by a spouse or eligible dependents for the reimbursement of eligible expenses. As the Employer, you can decide on very specific, or general terms, the purpose of the account. Percentage payment Medical and prescription HRA Deductible only HSA Compatible (Limited) Rx only * Debit card limitations may apply 2015 WageWorks Inc. All rights reserved. 4

5 What is an Integrated HRA? Integrated HRA An Integrated HRA is funded by the employer and linked with a group health plan that meets the ACA s market reforms for employers with >50 employees Unless the HRA is a retiree-only plan, it MUST be offered in conjunction with an employersponsored, ACA compliant group medical plan. This is called an integrated HRA. When an employer moves to a health plan offering with a higher deductible than the employee group is used to, an HRA may be provided to ease the transition to the higher out of pocket costs 2015 WageWorks Inc. All rights reserved. 5

6 HRA Payment Options EZ Receipts Pay My Provider Pay By Card* Pay Me Back File a claim and upload a picture of receipt Supports iphone and Android smart phones Online bill payment for HC / DC expenses Ideal for coinsurance, day care, orthodontic and dental. Proprietary debit card 84% autoadjudication rate Recurring expenses, copayments, deductibles IIAS only or full MCC Mail, fax, online Daily reimbursement 48-hour claims turn-around Check and Direct Deposit *Note: Custom HRA expenses cannot be supported on the WageWorks Health Care Card WageWorks Inc. All rights reserved. 6

8 Medicare Secondary Payer Reporting Medicare Secondary Payer Reporting (MSP) MSP Reporting is required for all Employer funded HRAs that cover working employees, their spouses and dependents over the age of 45 and for HRA balances of $5,000 or more Once an HRA balance reaches $5,000, it must be reported, until coverage ends (Even if the balance falls below $5,000 in future months) If the HRA account has a cap of $ , MSP reporting is not required * Confirm that WageWorks will be reporting MSP for HRA plan 2015 WageWorks Inc. All rights reserved. 8

10 Effective Communications Get the word out via multiple channels Increase awareness and understanding of the new benefits Deliver a smooth transition for you and your employees 2017 WageWorks Inc. All rights reserved. 10

Communications Communications Link Visible online through the OE Kit https://www.

aspx WageWorks Materials and Support Options Pre-Enrollment Flyers, Brochures,

11 Communications Communications Link Visible online through the OE Kit WageWorks Materials and Support Options Pre-Enrollment Flyers, Brochures, Posters Sample Templates Videos Post Enrollment Quick Start Guide Reminders 2017 WageWorks Inc. All rights reserved. 11

Online Account Access Participant login at www.

Online Features & Functionality One online view of all activity for all plan types is always available Claim/reimbursement notices can be sent when claim submitted,

15 Online Features & Functionality One online view of all activity for all plan types is always available Claim/reimbursement notices can be sent when claim submitted, approved/denied, and paid out Employees can also select to receive text message notifications Reimbursement notice mailed if participant does not have address on file.

EZ Receipts App Check balances, request funds and submit claims

17 Customer Service Participants may call for account information at: WAGEWORKS ( ) Customer Service Representatives are available Monday thru Friday, 8 a.m. to 8 p.m. Eastern Time (excluding holidays) 2017 WageWorks Inc. All rights reserved. 17

Consumer Driven Healthcare Health Savings Accounts and Health Reimbursement Arrangements

Presented By: Marty Hobbs Director of Business Development, 125Company Consumer Driven Healthcare Health Savings Accounts and Health Reimbursement Arrangements 1 Introducing Consumer Driven Healthcare