NEW YORK, Dec. 14, 2018 /PRNewswire/ -- HSA administrators, Clarity Benefit Solutions, shares five ways to maintain HSA eligibility.
Once HSA plans are in place, it is imperative to ensure that employees remain eligible for their plans. This can be quite challenging with ever-evolving legislation. Here are five ways to guarantee eligibility is maintained.
Ensure HSA plans meet the minimum thresholds. Employers must make sure each in-network plan meets the 2019 minimum threshold of $1,350 single and $2,700 family. Employers may want to consider raising the deductibles a bit above the threshold to help ensure this process is a smooth one, plus it will avoid spending time and resources amending the plan and communicating changes to employees.
Ensure HSA out-of-pocket maximums do not surpass the conventional maximum thresholds. The 2019 maximum thresholds are $6,750 for single and $13,500. It is important to note that these HDHP limits are not as high as the Affordable Care Act 2019 limits that establish rates of $7,900 single and $15,800 family.
Ensure that family members meet the HDHP statutory minimum family deductible. If an employee's family plan contains an entrenched individual deductible, employers should verify that each member of the family is qualified for the HDHP statutory minimum family deductible, which has been established as $2,700 for 2019.
Ensure that all preventive services and procedures are subject to the deductible. As defined by the federal government, all preventive services/procedures are covered by the deductible. Certain states—such Illinois, Oregon, and Maryland—have passed laws establishing specific non-preventive services are covered 100 percent. These laws are constantly changing, so it is important that employers consult with their benefits administrator, attorney, and tax advisor to determine the next course of action.
Ensure that supplemental products are HSA eligible. Depending on the health plan, certain supplemental medical products, such as hospital indemnity or critical illness, are classified as "other" medical coverage. It is possible that registering for these services may disqualify HSA eligibility. Employers should carefully review the plan design to see if the benefits vary by underlying medical procedure. If that is the case, the services may not be true indemnity plans and could potentially be HSA disqualifying. Once again, consulting a tax adviser is the best way to determine if an employer's offered plans are HSA qualified.
About Clarity Benefit Solutions: Clarity Benefit Solutions provides technology that makes the health insurance plan selection process fast, easy, and straightforward. For over two decades, we have provided clients with industry-leading technology, compliance, and exceptional customer service. Our offering is designed to save time and lower the costs of managing benefits while also promoting employee self-service and automated ACA compliance.
SOURCE Clarity Benefit Solutions