AN OVERVIEW OF IRC SECTION 105(h) PLANS
How our Beniversal health reimbursement account plans work
IRC Section 105(h) Plans allows employers to set aside tax-free funds for employee medical expenses not covered by insurance. Employee do not contribute to Health Reimbursement Accounts (HRAs). Although not required, HRAs are often offered in conjunction with high-deductible, low premium health insurance plans for a total savings in health care costs.
Employees may pay for their eligible medical expenses with a Beniversal Prepaid MasterCard or be reimbursed by submitting a claim form.
Beniversal Health Reimbursement Account
Employees can pay for a wide range of out-of-pocket medical expenses with tax-free dollars. Eligible expenses can include:
- co-payment
- deductibles
- prescription drugs
- dental care
- vision care, eyeglasses, contact lenses
- chiropractic care
- psychological counseling
- certain over-the-counter medical items
The Mechanics of Tax-Free Accounts
The employer decides how much money to allocate toward each employee's HRA. The employer sends employee records to Benefit Resource. Benefit Resource issues a Beniveral Card to participants and then track expenditures to be sure they are eligible. We handle payment of all eligible HRA expenses.
Simple Monitoring
Online, 24/7, employees can see the status of their accounts and employers can track usage of HRAs as well.
Questions about Section 105(h) Plans? Contact us.