Why choose an HRA?
Thinking of implementing an HRA into your benefits package?
Here are a few reasons why you might consider this plan:
- Money is available at the beginning of the year, made possible by the employer.
- HRAs allow for flexibility in contribution amount.
- If you have a Qualified High Deductible Health Plan (QHDHP), you may offer a post-deductible HRA with your HSA account.
- You and your benefits broker can start by purchasing the highest deductible HSA plan to provide the best premium savings using IRS maximums.
Avoid compliance penalties tied to your HRA.
Consumer driven health plans are all subject to compliance. If you decide on offering an HRA for your employees, here’s a checklist to keep in mind to stay compliant.
Your HRA must:
- Integrate with an Affordable Care Act (ACA) compliant group health plan.
- Not be offered as a stand-alone benefit; unless reimbursement is for dental and vision only.
- Not be offered to pay for individual medical premiums.
- Be obtainable to retirees on a stand-alone basis only.
- However, this could possibly prevent the eligibility for a subsidy.
- Reimburse qualified medical expenses for another, non-company sponsored group health plan.
- Be a COBRA-eligible benefit.
Good news: We'll help with that checklist.
PrimePay will help you through the account setup and funding processes. If there’s ever an issue, don’t worry! We will work with the bank funding the account, you, and the account holder.
Plus, we offer POP for free when you purchase HRA or any one of our consumer driven health plans.