Health Reimbursement Arrangement (HRA)
A health reimbursement arrangement is a plan set up by an employer to cover medical expenses for its employees. An HRA can be offered by
employers of any size. The employer decides how much will be allowed as reimbursement on the plan, and the employee can request reimbursement for actual medical expenses incurred up to that amount. Employer contributions to the HRA are tax-deductible to the employer. The HRA can be administered by a Third-Party Administrator (TPA). The TPA will help with claims processing and the plan can also be set up with a Benefits Debit Card so that the HRA reimburses office visit copays or prescription drugs directly.
employers of any size. The employer decides how much will be allowed as reimbursement on the plan, and the employee can request reimbursement for actual medical expenses incurred up to that amount. Employer contributions to the HRA are tax-deductible to the employer. The HRA can be administered by a Third-Party Administrator (TPA). The TPA will help with claims processing and the plan can also be set up with a Benefits Debit Card so that the HRA reimburses office visit copays or prescription drugs directly.