Health Reimbursement Arrangement

A health reimbursement arrangement, or HRA, is a tax-favored account funded on your behalf by your employer. It reimburses you for qualified medical expenses, as determined by your employer, that are not otherwise reimbursed or covered by your health insurance. An HRA can serve to fund any gap between your out-of-pocket health care expenses and the medical expenses covered by your insurance.

Though your employer determines what your HRA can pay for, HRAs typically cover costs such as deductibles, copayments, coinsurances, prescription drugs, out-of-pocket medical costs, dental and/or vision expenses.

If you have family coverage, your HRA can be used to pay for eligible services that your covered dependents receive. If you have single coverage, the HRA can only be used to pay for services and products for your own care.