Page 10 - Hospice Benefits Enrollments Guide

Health Savings Account (HSA)

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Can I have other Health Insurance Coverage and have an HSA?
No. Per the IRS, you are not eligible to contribute to an HSA if you are (1) enrolled in another health
plan (2) are not covered under a High Deductible Health, (3) are covered under Medicare or (4) are
consider a tax dependent of another person.

Can I contribute a large amount to my HSA?
You are allowed to contribute the entire year’s limit whenever you first become eligible for the HSA. But
you must remain eligible for at least 12 months after that date, or you will be subject to taxes and
penalties on the amount you contributed.

Who will handle my HSA?
You have the option to open an account with Allegacy Federal Credit Union, headquartered in Winston-
Salem, NC. Paperwork is required for each individual wishing to open an HSA so that the account can be
ready for your contribution, if you elect to contribute pre-tax monies to your HSA. Our Benefits
Representative will review the required paperwork and discuss the Allegacy program.

Important things to remember if you enroll in the HDHP/HSA Plan…

• Do not pay the providers at time of service. Allow claims to be processed and discounts applied
before making payment.

• When you receive invoices from providers, make sure to check your Explanation of Benefits
(EOB) from Medcost before making payment.

• Your HSA monies can be used to make provider payments for medical, dental, vision and
prescription medication out-of-pocket costs for any eligible dependent.

• Your HSA monies roll over from year to year and you decide whether to pay a bill with those
monies or other sources of income.

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