welcome to your premera hsa plan - premera blue · pdf filewhat’s an hsa? the hsa is a...
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Welcome to your Premera HSA planCompany nameEffective 1.1.2016
Whats an HSA?
The HSA is a health savings account where you can save money before income taxes are taken out and use to pay for your current or future IRS-approved medical expenses.
Your HSA is opened automatically
Your HSA has been opened for you at a federally insured bank by ConnectYourCare (CYC), an independent company that administers health savings accounts on behalf of Premera Blue Cross.
Youll soon receive information about your HSA from the bank acting as the custodian of your HSA funds.
Your HSA belongs to you
It does not belong to your employer, even if your employer contributes money to it. Nor does it belong to Premera Blue Cross. The HSA and the money youve saved in it are yours, even if you decide to change jobs, switch health plans, or retire.
No bank fees
Unlike many other banks, Premera HSA plan participating banks will not charge you any transaction, account, or administrative fees for opening, maintaining, or using your HSA.
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Youre enrolled in the HSA plan from Premera Blue Cross. It comes fully assembled and integrated, so you can immediately enjoy the financial advantages of its health savings account, coverage from its health plan, and online access so you can easily manage both.
SAVINGS
Get started
THERE IS NO USE IT OR LOSE IT RULE
You can let the money in your HSA roll over from year to year. So theres no need to
rush out and spend your money at the end of the plan year.
Once your savings reach $1,000, youll be able to invest your money in over 100 no-load, no-transaction-fee mutual funds.
When a provider does not submit a claim to Premera
Heres what you should do:
1 Pay out-of-pocket for the service or product.
2 Submit a medical claim to Premera for the total cost.
3 Check the Explanation of Benefits (EOB) statement youll receive to see how much of the cost is covered by your plan. If the amount covered is less than what you paid out-of-pocket, you can request a reimbursement from your HSA for the remaining amount.
OR
using your healthcare payment card
YOU pay
Its like a debit card, immediately accessing the money in your HSA to pay on the spot.
Youll receive your card soon, if you havent already.
To pay or not to pay healthcare bills with your HSAYou decide when and how to pay with your HSA.
Does your employer contribute to your HSA?
If yes, this money will count towards your contribution limit. So make sure to account for this amount when calculating how much you want to contribute to your HSA on a yearly basis so you dont exceed IRS limits.
2016 CONTRIBUTION LIMITS
INDIVIDUAL $3,350
FAMILY $6,750
55+ catch up payment $1,000
You can change the amount you contribute to your HSA or make a lump-sum deposit to your account whenever you want.
Pre-tax contributions to your HSA
Just like a 401(k) or individual retirement account (IRA), you can have money deducted from your paychecks by your employer before income taxes are taken out and deposited into your HSA.
For calendar year 2016, you may deposit up to these IRS limits:
out-of-pocket YOU pay
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$
Leave your HSA funds untouched
to let your savings grow for future expenses.
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Pay your familys healthcare expenses, too
Use your HSA funds to pay any approved expenses of your spouse and dependents (generally someone you can claim as an exemption on your tax return). You can pay their healthcare expenses even if they are not covered by your health plan.
Paid for expenses not approved by the IRS with HSA?
Whoops. If you spend your HSA money on anything other than IRS qualified medical expenses, then you may have to:
1 Report the amount of unqualified expenses on your tax return
2 Pay income tax on the amount
3 Pay a 20 percent penalty (you will not be penalized if youre 65 or older or disabled)
Also called qualified medical expenses, there are many of these expenses you can pay for with your HSA:
Medical care and services, including office visits, hospitalizations, and lab tests
Deductible, copays, coinsurance
Prescription drugs
Dental care
Vision care and eyewear
Learn more when you log in at premera.com to manage your account.
Use your HSA for IRS-approved expenses
Save your itemized receipts, its important!
Non-itemized cash register tapes, credit card receipts, and canceled checks alone are not proper proof of your purchases. Receipts must contain the following information:
Name of patient or person receiving service
Date of service
Name and address of provider
Description of the service or product purchased
Amount charged
Also keep any documents verifying that you used your HSA money for an IRS-approved expense. Plus theyre great reminders when you need to reimburse yourself.
Youre covered by a Premera health plan, too! Youll soon receive a welcome guide explaining how to take advantage of your Premera plans benefits. In the meantime, heres a brief overview of the plan and how it works with your HSA.
COVERAGE
How your health plan works
For details about your plans actual preventive benefits see your preventive benefits list, summary of benefits, and your benefit booklet on premera.com.
PREVENTIVEexams, screenings, specific generic Rx
COVERED IN FULLdeductible met
out-of-pocket maximum met
Pla
n Ye
ar
YOU paynon-preventive care and prescriptions until you reach deductible
WE pay
WE pay
covered services
YOU pay
we BOTH paycoinsurance for covered services
100%
100% $0
Use in-network providers
Your health plan has a specific group of doctors, pharmacies, hospitals, and other healthcare providers in its network. You will pay less if you use these in-network providers. (The name of your provider network can be found on your Premera ID card.)
Certain generic preventive drugs are covered in full
These drugs include certain generic cardiovascular and oral diabetic medications. (You soon will receive a Premera welcome kit that includes a list of these drugs. For a general list, go to premera.com/HSA.)
Save money by buying generic
Ask your doctor if lower-cost generic drugs are right for you.
Most preventive care and tests are covered at 100 percent
You dont pay anything for these services, which are important in maintaining long-term good health. Preventive care includes regular checkups, immunizations such as flu and tetanus shots, and screenings such as blood pressure and cholesterol tests. Log in at premera.com to see which preventive services are covered in full.
Things to know about using your plans benefits
PREVENTIVE VERSUS DIAGNOSTIC TESTS
Tests are preventive before a medical condition is detected. Preventive tests are
covered at 100 percent. Tests are diagnostic after a condition has been diagnosed.
You may be responsible for paying part of the cost of diagnostic tests.
At work, at home, or on the go you have instant, convenient access to your HSA.
CONVENIENCE
Manage your HSA at premera.com
See qualified medical expenses
Go to Help & Tools to see the IRS-approved expenses that you can pay for with your HSA.
Check your account balance
Go to Accounts & Balances.
Track and manage your claims
Under Payments & Reimbursements you can set up recurring claims and view existing claims from your health plan, HSA, and healthcare payment card transactions.
Manage HSA contributions
Go to Accounts & Balances to adjust the amount you deposit or make a lump-sum deposit.
Invest your HSA savings
Go to Accounts & Balances to access mutual funds through a fully integrated investment center.
Request healthcare payment cards
Go to My Payment Card to add a cardholder, replace a damaged card, or report a lost or stolen card.
Manage your account on your phone
Download CYC Mobile to:
View account balance, claims, transaction history and alerts
Instantly upload your receipts
Submit a claim to get reimbursed from your HSA
Log in at premera.com and click Personal Funding Accounts under Manage My Account to:
020381 (01-2016)
Premera Blue Cross is not an administrator, trustee or fiduciary of any health savings account which may be used by a plan member in conjunction with a health plan.
This material is not intended to be tax or legal advice. The reader should consult with his or her own tax advisor to determine the tax implications of purchasing the products discussed herein.
Advice, if any, included in this material was not intended or written by Premera to be used, and it cannot be used, by any taxpayer for the purpose of avoiding penalties that may be imposed on the taxpayer.
ConnectYourCare (CYC) is an independent company that provides health savings account services on behalf of Premera Blue Cross.
Call 800-941-6121 for more information about your HSA.
037338 (07-2016)
Discrimination is Against the Law Premera Blue Cross complies with applicable Federal civil rights laws and does not discriminate on the basis of race, color, national origin, age, disability, or sex. Premera does not exclude people or treat them differently because of race, color, national origin, age, disability or sex. Premera: Provides free aids and services to people with disabilities to communicate
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