FREQUENTLY ASKED QUESTIONS AND ANSWERS FOR
HSA
HEALTH SAVINGS ACCOUNT
BACK TO LIST OF FAQ

Questions:  11, 12, and 13

11. Does the maximum out of pocket include the deductible?

Yes.

12. Can a co pay prescription card be offered under a qualified high deductible plan?

The U.S. Department of the Treasury has recently stated that those with a health insurance plan that is in all other respects HSA compatible, except that it provides prescription drug coverage below the deductible, can have an HSA until 1/1/2006. This is how the U.S. Department of Treasury’s media release described the recent Treasury ruling:
http://www.hsainsider.com/treasury/treasury_7.pdf
INTERACTION OF HDHP BENEFITS WITH PRESCRIPTION BENEFITS AND
TRANSITIONAL RELIEF Prior guidance noted that an eligible individual must be covered by an HDHP and generally no other health plan that is not an HDHP. Guidance issued today clarifies that individuals covered by a health plan that provides prescription drug benefits before the minimum annual deductible of an HDHP has been satisfied may not make contributions to an HSA. However, companion guidance also issued provides transition relief to those individuals covered by both an HDHP and by a separate health plan or rider that provides prescription drug benefits before the deductible of the HDHP is satisfied. Under the relief, such individuals continue to be eligible to contribute to HSAs before 2006. If you want to read the full text of the Ruling, go to:
http://www.hsainsider.com/treasury/treasury_3.pdf

13. If you purchase an HSA-compatible healthcare plan and that you incur expenses that the plan doesn't allow - such as over their "reasonable and customary" schedule. Can you pay for that amount (over the "reasonable and customary") even if it does not go towards meeting the deductible under the health insurance plan?

Yes.