Health Savings Account and Health Reimbursement Account
Health Reimbursement Account (HRA)
This is an account that accompanies the Blue plan. Your account is used to pay for eligible health care expenses, such as your deductible and coinsurance. Anthem and Caremark automatically draw funds from your account to pay for your eligible health care expenses, as long as you have a balance, before calculating your out-of-pocket cost. If the money in your account is not used by the end of the year, the balance rolls over to next year.
Assurant contributes $500 for individual coverage ($1,000 family) to this account.
In January, we’ll deposit $250 (Individual) or $500 (Family) to your HRA account and an additional $250 (Individual) or $500 (Family) will be distributed evenly throughout the year to your health plan account on a bi-weekly basis. The bi-weekly Company contribution will be prorated based on your hire date and you must be actively employed on the date the contributions are made in order to receive them.
You are not allowed to contribute to the account.
Health Savings Account (HSA)
This is an account that accompanies the Green or Orange plans. You elect to open this account when you enroll. Assurant contributes to your account and you also can elect an amount to contribute to your HSA that will be deducted from your paycheck before taxes — that's tax-free savings for health care expenses. You can use your account to pay eligible health care expenses, such as your deductible and coinsurance for health and dental plans. If you don't use the money in your account by the end of the year, the balance rolls over to the next year. All HSA contributions are tax-free when you use them for qualified health care expenses.
The money in your HSA always belongs to you. Also, with the HSA you can:
Choose to save all or part of the money each year for future health care expenses, and take the HSA with you if you leave Assurant (but you will be responsible for all account fees).
If you want to participate in either the Green or Orange plan but don’t qualify for an HSA, please submit a request via ERIN within four days of enrollment to avoid any adverse tax consequences. Please note: If you maintain an HSA that is not affiliated with current enrollment in an Assurant health plan with an HSA such as the Green and Orange plans, you are responsible for paying the monthly account fee and any other fees. Assurant will not cover fees related to any HSA if you are not enrolled in the Green or Orange plan.
Assurant will make a contribution to your HSA based upon which coverage level you elect ($500 individual/$1,000 family). The company contribution will be deposited into your HSA a few days after your first pay period once your HSA is in effect.
In January, we’ll deposit $250 (Individual) or $500 (Family) to your HSA account and an additional $250 (Individual) or $500 (Family) will be distributed evenly throughout the year to your health plan account on a bi-weekly basis. The bi-weekly Company contribution will be prorated based on your hire date and you must be actively employed on the date the contributions are made in order to receive them.
Note: For December new hires, Assurant will deposit the annual contribution to your HSA in late January for the following plan year only.
You also may elect to contribute to your HSA on a pre-tax basis. Unlike other pre-tax benefits, you can start, stop or change your HSA contributions at any time during the year through MyHR. There are IRS limits to the amount of money you can contribute into your HSA in a year. The maximum amount you can contribute via payroll deductions is the annual IRS maximum less the amount of company contributions and wellness incentives paid to you.
Health Savings Account (HSA) Contributions
Review the maximum contribution amounts for 2024 Health Savings Accounts (HSA) in the table below below. Reminder: Assurant also contributes to your HSA. Look for the deposit into your HSA a few days after your first pay period once your HSA is in effect.
For 2023, the maximum annual contribution allowed by the IRS is $3,850 for individual coverage and $7,750 for family coverage. For $1,000 catch-up contributions you must be at least 55 by Dec. 31, 2023.
|Maximum Annual Contribution Allowed by the IRS1|
|Catch-Up Contributions (must be at least age 55 by Dec. 31, 2024 to be eligible)|
1Contributions that exceed the IRS maximums are not tax deductible and are subject to a 20% excise tax. Company contributions and earned wellness rewards are included within the maximum contribution limit.
2"Family" includes Employee & Spouse/Domestic Partner, Employee & Child(ren) and Employee & Family.
Assurant will pay monthly account maintenance fees for employees enrolled in the Green or Orange plan with an HSA. If you have an HSA through another administrator, you will be responsible for all fees associated with that HSA.
You are not required to contribute to an HSA to receive the company contribution or to participate in the Green or Orange plan. Depending on your personal finances, consider contributing at least enough so that your contribution, when combined with the company’s contribution, will cover your annual deductible. Using pre-tax dollars to meet the annual deductible means tax savings for you. If you are currently in the Green or Orange plan and you choose to enroll in the Purple or Blue plan or waive health plan coverage, you’ll be charged a $2.50 monthly maintenance fee if you have funds remaining in your HSA.
Anthem is the administrator for your HSA. You'll be charged a fee of $1.50 per quarter for paper statements. You can go green and save by logging into Anthem.com to elect to receive your statement electronically.
Using Your HSA
Accessing HSA Funds
If you enroll in the Green or Orange plan option and are eligible for an HSA, you will receive a debit card from Anthem.com in the mail. To access your HSA funds:
- You can use your debit card to pay for eligible expenses such as prescriptions, deductibles and coinsurance as long as you have funds available in your account.
- Through Anthem.com, you'll also be able to pay for your eligible out-of-pocket expenses directly from your online account.
Eligibility for an HSA
To be eligible for an HSA, you must meet the following criteria:
- Have a qualified high deductible health plan (such as the Green or Orange plan).
- Have no other health coverage except what is permitted as other health coverage by the IRS.
- Not be enrolled in Medicare.
- Not be claimed as a dependent on someone else's tax return.
- Not have access to dollars in a General Purpose Flexible Spending Account (FSA) that can pay for any medical expenses before the HSA’s required deductible is met, including a spouse’s Health Care FSA. Limited Purpose FSAs are acceptable other coverage.
If you enroll in a Green or Orange plan with an HSA, but are ineligible for an HSA, you must submit a request via ERIN within four business days of your coverage effective date to opt out of the HSA and avoid any adverse tax consequences.
If you are ineligible for an HSA and therefore do not open an account, Assurant’s contribution will be deposited in your paycheck as taxable income.