Health Reimbursement Arrangements

Health reimbursement arrangements (HRAs) are accounts that are employer funded for the employee to use for medical expenses. The health reimbursement arrangement is usually made in conjunction with enrollment in a high-deductible medical insurance policy. Unlike the health savings account, it may be offered as a stand-alone arrangement. The high-deductible policy will ensure coverage for major medical expenses.

There are specific requirements for setting up an HRA. It can only be used to reimburse medical costs incurred by the employee, his or her spouse, and qualified dependents. It also must be totally funded by the employer. The plan administrator must verify that all medical expenses must qualify for reimbursement according to the established guidelines.

Various Benefits of Health Reimbursement Arrangements
The HR Consulting Group, Inc. has the years of expertise to guide you in implementing your employee benefits package. Consumer-driven health care is forging ahead in the health insurance arena, giving individuals more control over the choices in medical care. As experts in the area of health reimbursement arrangements, we can provide the insight you need to benefit as an employer. HRAs will also give your employees more control over choosing medical care.

Health reimbursement arrangement funds can roll over from year to year and remain tax free. There is no restriction on the size of company or firm that can set up an HRA program. There is a lot of flexibility afforded employers in designing a plan to meet the needs of their employees. We have the tools available to move your company into the system of health reimbursement arrangements.