The CARES Act signed into law by President Trump on March 27 permanently reinstates coverage of over-the-counter (OTC) medications as eligible for reimbursement from FSAs, HRAs and HSAs without need for a prescription. Under the reinstated coverage, account funds can be used to buy popular OTC medications such as aspirin and ibuprofen.
This change is retroactively effective for expenses incurred on or after January 1, 2020.
The CARES Act also allows for the purchase of menstrual care products using FSA, HRA and HSA funds. However, vitamin purchases still only qualify if accompanied by a prescription.
If your plan does not currently cover OTC medications, but you’d like to allow these medications and menstrual care products, you may need to amend your FSA and HRA plans. To start this process, just email MedBen Director of Administration Sharon A. Mills at smills@medben.com advising that you wish to cover OTC medications. Of course, you also always welcome to contact your Account Manager to initiate this process, too.
Until merchants are able to accommodate this change (it’s estimated it could take stores 4-6 weeks to accommodate purchases using FSA debit cards), members may take advantage of OTC coverage by submitting a Request for Reimbursement form with appropriate validation, such as a store receipt. Visit medben.com to download forms or view a list of other IRS-qualified expenses.