A Health Reimbursement Arrangement (HRA) is an account used to reimburse a portion of eligible out-of-pocket medical expenses for you and your dependents. An HRA is not an insurance plan, it's a reimbursement program funded by your employer.
Who is eligible for an HRA?
If you are covered by a group medical plan and your employer offers an HRA then you are eligible for it. If you have a high deductible health plan (HDHP) you are required to meet your deductible prior to using HRA funds.
What expenses does an HRA cover?
You can use your HRA to pay for eligible medical, dental, or vision expenses for yourself or your dependents enrolled in the HRA. Your employer determines which health care expenses are eligible under your HRA. Refer to your plan documents for more details.
Funding details
HRAs are generally funded up-front, meaning the entire amount is available for use on the effective date.
HRAs are owned by the employer and they contribute the funding to these accounts.