Important Notice: Our web hosting provider recently started charging us for additional visits, which was unexpected. In response, we're seeking donations. Depending on the situation, we may explore different monetization options for our Community and Expert Contributors. It's crucial to provide more returns for their expertise and offer more Expert Validated Answers or AI Validated Answers. Learn more about our hosting issue here.

Must our consumer-driven health plans (HRA, FSA, HSA) extend coverage to adult children under age 26?

0
Posted

Must our consumer-driven health plans (HRA, FSA, HSA) extend coverage to adult children under age 26?

0

The answer depends upon the type of account. Health Reimbursement Accounts are generally subject to the coverage mandate, which states that you must offer the same coverage options to similarly situated individuals. If you offer coverage to dependents under your HRA, you must extend that coverage to adult children. If your HRA does not offer coverage to any dependents, then you do not have to extend coverage to adult children. Some HRAs, such as retiree-only HRAs, are exempt from the coverage mandate. Health Flexible Spending Accounts (HFSAs) are exempt from the coverage mandate. However, an employer may choose to extend coverage to adult children under the HFSA of their own volition. Health Savings Account (HSAs) are individually owned accounts governed by a section of the Internal Revenue Code that was not changed by PPACA. So far, it appears adult children may not be covered by HSAs.

Related Questions

Thanksgiving questions

*Sadly, we had to bring back ads too. Hopefully more targeted.