NEWS

Stimulus Package Impacts Employer Benefit Plans

Included in the Act is a provision reauthorizing the ability of participants in health care FSAs, certain Health Reimbursement Arrangements (HRAs), and health savings accounts (HSAs) to have over-the-counter medications as items eligible for reimbursement without the necessity of a prescription.

Congress has passed, and the President has signed, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) intended to ease the economic impacts stemming from the novel coronavirus disease (COVID-19) outbreak. This legislation includes a significant change for employer-sponsored benefit plans. The legislation removes the prescription requirement for over-the-counter (OTC) drug reimbursements that previously applied to health FSAs, HRAs, and other accident and health plans, as well as to HSAs.