FSA Reimbursement for Non-Covered Spouse
Health FSA funds may generally be used to reimburse eligible medical expenses for a spouse or qualifying dependents even if they are not enrolled in the employer's health plan.
Questions about your benefits? Contact your HR administrator.
Q.- We have a COBRA participant who also has Medicare (he was enrolled in Medicare before his COBRA qualifying event). Does our plan pay primary benefits for him or does Medicare
Q.- We have a COBRA participant who also has Medicare (he was enrolled in Medicare before his COBRA qualifying event). Does our plan pay primary benefits for him or does Medicare pay first?
A.- Medicare pays first. Medicare would pay second for an active employee, but this individual’s coverage is not due to his active employment status. He has coverage because of a legal requirement (the COBRA law), not because of his employment.
Benefit Allocation Systems (BAS) provides online solutions for: Employee Benefits Enrollment; COBRA; Flexible Spending Accounts (FSAs); Health Reimbursement Accounts (HRAs); Leave of Absence Premium Billing (LOA); Affordable Care Act Record Keeping, Compliance & IRS Reporting (ACA); Group Insurance Premium Billing; Property & Casualty Premium Billing; and Payroll Integration.
MyEnroll360 integrates with major insurance carriers for enrollment eligibility management (e.g., Blue Cross, Blue Shield, Aetna, United Health Care, Kaiser, CIGNA and others), and with leading payroll platforms for enrollment deduction management (e.g., Workday, ADP, Paylocity, PayCor, UKG, and others).
This article is for informational purposes only and is not intended as legal, tax, or benefits advice. Readers should not rely on this information for taking (or not taking) any action relating to employment, compliance, or benefits. Always consult with a qualified professional before making decisions based on this content.