Flex Plan

[GOOFY4DONALD]

My DH just got a letter that stated the flex plan can no longer be used to buy any OTC meds as of Jan 2011. Does this affect everyone? The reason that was stated is because it was going along with new healthcare regulations. I am just wondering if anyone has any more details.

 

[Swimalie]

My DH just got a letter that stated the flex plan can no longer be used to buy any OTC meds as of Jan 2011. Does this affect everyone? The reason that was stated is because it was going along with new healthcare regulations. I am just wondering if anyone has any more details.

I haven't read anything official but I've heard this, too. I don't use one, which is why I haven't researched it. I don't think it's a good thing that the option has been taken away.

 

[Brer Shay]

I wish this weren't true, but your DH is correct for the most part. I will avoid discussing the politics here, but one effect of the new healthcare legislation is to eliminate most OTCs from being reimbursed through Medical Flexible Spending accounts. I don't believe this was an intended consequence so there may be further legislation to redefine.

However, as it stands now, beginning 1/1/11, OTCs will only be reimbursable on a flex account only if a doctor "prescribes" it. This means if you have an FSA visa/mastercard, you will not be able to use it for puchasing at the counter. You will need to submit a claim form and include with it a note from your doctor spelling out the drug name, dosage, and duration along with your receipt.

It's a bit confusing, but you can read additional information at SORRY THIS ARTICLE REQUIRES A LOGIN http://www.shrm.org/Publications/HRNews/Pages/FSAChallenges.aspx . This is the Society for Human Resource Management website and is a reliable source.

Wish I could tell you otherwise.

 

[GOOFY4DONALD]

I wish this weren't true, but your DH is correct for the most part. I will avoid discussing the politics here, but one effect of the new healthcare legislation is to eliminate most OTCs from being reimbursed through Medical Flexible Spending accounts. I don't believe this was an intended consequence so there may be further legislation to redefine.

However, as it stands now, beginning 1/1/11, OTCs will only be reimbursable on a flex account only if a doctor "prescribes" it. This means if you have an FSA visa/mastercard, you will not be able to use it for puchasing at the counter. You will need to submit a claim form and include with it a note from your doctor spelling out the drug name, dosage, and duration along with your receipt.

It's a bit confusing, but you can read additional information at http://www.shrm.org/Publications/HRNews/Pages/FSAChallenges.aspx . This is the Society for Human Resource Management website and is a reliable source.

Wish I could tell you otherwise.

The information that you describe is exactly what we received. I am hoping that will not affect dental. We maxed out the flex plan to pay for DDs braces and were planning on doing the same next year.

 

[Brer Shay]

Orthodontia will still be reimbursed under medical FSA. You're completely safe on that one.

 

[Binnie]

It applies to everyone and it stinks! It was a virtually unmentioned (by the media) piece of the Healthcare Reform package.

Later on, the plans will allow you to set aside no more than $2500 per year, too.

 

[Jen_in_NH]

We got the same letter too.

The part that will hurt us later on is the future cap on these plans. Right now, we fund ours enough to pay for my son's insulin pump supplies, since our insurance doesn't cover much of it. Ugh.

 

[GOOFY4DONALD]

Thanks for all the replies. I still am upset and I know why but I won't get into that here. I am not undersatnding why they would pay for contact lense solution vs. severe cold/flu med. I guess it has to do with the prescrition part of it. I use contacts but feel like the solution part is more of a cleaning item. Oh well I guess I will have to amp up my CVSing so I can get them cheap of free.

 

[NiftyJ88]

I got the notice too. It's part of the Patient Protectionand Affordable Care Act that the lovely liberal congress signed into effect in the spring. I suppose this will somehow make healthcare MORE affordable for the working class. Gee...I work and this sucks.

 

[bumbershoot]

That link requires you to be a member of the site....



I haven't been able to use the flex plan the way I want for ages now. We don't typically use the western medicine OTCs, and spend far less buying vitamins homeopathic remedies, etc. It was a beautiful things when those were covered, but those were dropped by the plans available to us (we had the horrid wageworks) a few years ago. Sigh.

I figure this is just a continued watering down.

 

[scard192]

I've heard the same thing and I think it stinks. I have allergies and use a lot of OTC meds during the year. I always go with a Flex plan as I have a few teeth that will need crowns ($1300) at some point so I put maybe $500-600 into Flex in case the teeth finally give out and I have cover what my insurance doesn't. Last year I didn't need any extensive dental work and had $200 left in my flex that I used to buy allergy meds, cold remedies, band aids,etc. Not sure what I will do for Flex next year as I don't have a crystal ball so if I put a certain amount into my Flex and I'm not sick or have dental work, I am SOL.

 

[dreamin_disney]

I havent recieved anything yet in the mail. I'm also unhappy if OTC meds arent going to be covered. I keep track of my Flex spending and so far for this year i've spent $134 for OTC meds . In the past it would be much more because i use to go through advil cold and sinus medicine like crazy and claritin but i finally got an RX for allergies. But for many i know they spend a lot more. This year i had them do $1000 for me and nextyear i was planning $1200 but wont. I still have $283 to spend so i have a few rx's to fill until the end of the year and if any is left over i'll use it for some OTC med for next year.

Someone oin the fourm rold me about the mileage and Thank goodness i started adding that cause so far I've been reinbursed $92.22 wow!

BTW i have mine through american fidelity

 

[KarenC]

We got the same letter too.

The part that will hurt us later on is the future cap on these plans. Right now, we fund ours enough to pay for my son's insulin pump supplies, since our insurance doesn't cover much of it. Ugh.

My DS is on an insulin pump too...sometimes I think the dollars I spend on his healthcare are the least of my worries

My DS is in college. With the job market being the way it is, I'd been worried sick about what whether he'd be able to find a job with health insurance benefits. I am so relieved to be able to keep him on my policy, if necessary, until he's 26. By then, insurance companies will not be able to deny him benefits or charge him more for his pre-existing condition.

 

[jodifla]

My DS is on an insulin pump too...sometimes I think the dollars I spend on his healthcare are the least of my worries

My DS is in college. With the job market being the way it is, I'd been worried sick about what whether he'd be able to find a job with health insurance benefits. I am so relieved to be able to keep him on my policy, if necessary, until he's 26. By then, insurance companies will not be able to deny him benefits or charge him more for his pre-existing condition.

Right. And these things are WAY more important than whether the Flex plan pays for OTC drugs!

The Flex changes aren't great for us either, but if I can be assured of health care access for me and my family, that's the most important thing.

 

[erin.w]

Right. And these things are WAY more important than whether the Flex plan pays for OTC drugs!

The Flex changes aren't great for us either, but if I can be assured of health care access for me and my family, that's the most important thing.

Agreed, it was difficult to pay for my health insurance as I was kicked off of my mothers while I was in grad school full time. Had to take the universities insurance but had to take out extra loan money to pay for the insurance. Not bad that the government is now making 6% interest on my loans including the money I had to use to pay for my own insurance. That doesn't seem fair to me considering I was full-time in school and only was able to work enough to pay for my other expenses.

 

[dreamin_disney]

Agreed, it was difficult to pay for my health insurance as I was kicked off of my mothers while I was in grad school full time. Had to take the universities insurance but had to take out extra loan money to pay for the insurance. Not bad that the government is now making 6% interest on my loans including the money I had to use to pay for my own insurance. That doesn't seem fair to me considering I was full-time in school and only was able to work enough to pay for my other expenses.

So those of us that pay insurance will still pay the same amount?? Dh and I just got married 1 1/2 years ago and I work partime and most of my paycheck went to insurance for me and dd. If dh and I would have had one more child being unmarried I wouldnt not have been able to add another child due to the cost. I'm now on hubbys and its way cheaper then mine. I still have us on the dental and vision which is affordable $70 a month(medical was additional $475) . Hopefully my work hours arent cut even one hour per day would make insur unafforable because it goes by hours.

With the new laws will insurance premium be cheaper? not sure how it will work otherwise people will say they cant afford to pay.

wish everyone had free insurance

 

[GOOFY4DONALD]

Right. And these things are WAY more important than whether the Flex plan pays for OTC drugs!

The Flex changes aren't great for us either, but if I can be assured of health care access for me and my family, that's the most important thing.

I do agree with this. The only thing is the flex plan is not health insurance. We pay into it every month. The only difference is that money is not taxed. Except for the tax break it is the money that my DH earned at work. He works very hard and we live a nice but modest life. Since the flex plan will not pay OTC w/o a doctor's note more people are going to go to the dr to get the notes and that will cost way more than a bottle of aspirin.

 

[deerhart]

I've heard the same thing and I think it stinks. I have allergies and use a lot of OTC meds during the year. I always go with a Flex plan as I have a few teeth that will need crowns ($1300) at some point so I put maybe $500-600 into Flex in case the teeth finally give out and I have cover what my insurance doesn't. Last year I didn't need any extensive dental work and had $200 left in my flex that I used to buy allergy meds, cold remedies, band aids,etc. Not sure what I will do for Flex next year as I don't have a crystal ball so if I put a certain amount into my Flex and I'm not sick or have dental work, I am SOL.

Your allergist is very likely to write you a script for an OTC allergy drug. I know mine would easily. Heck, you got my insurance company to cover allergra when they stopped covering almost all allergy meds (because the OTC stuff didn' work for me but allergra still did).

We use our Flex plan for known medical costs (prescriptions, contacts/eye doc, routine medical visits) and then we set aside a certain amount for DH's medical work. If at the year we have money left over, I go order contacts from the eye doc

We ALSO have an HRA account which will roll over each year. SO they use the money up in our flex account first before touching our HRA.

 

[j's m]

With the new laws will insurance premium be cheaper? not sure how it will work otherwise people will say they cant afford to pay.

wish everyone had free insurance

Insurance can't be cheaper, when plans change from one million lifetime limit to unlimited, it has to go up. Along with lots of other requirements in the bill.

Our group insurance for our business just went up 30% on our renewal for September.

 

[3boymthr]

So those of us that pay insurance will still pay the same amount?? Dh and I just got married 1 1/2 years ago and I work partime and most of my paycheck went to insurance for me and dd. If dh and I would have had one more child being unmarried I wouldnt not have been able to add another child due to the cost. I'm now on hubbys and its way cheaper then mine. I still have us on the dental and vision which is affordable $70 a month(medical was additional $475) . Hopefully my work hours arent cut even one hour per day would make insur unafforable because it goes by hours.

With the new laws will insurance premium be cheaper? not sure how it will work otherwise people will say they cant afford to pay.

wish everyone had free insurance

Insurance premiums definitely won't be cheaper and in a couple of years those of us with a so called "premium (cadillac)" plan will pay a 40% premium tax. (This typeof plan has not yet been defined). So if you have good insurance now forget about saving money and in a couple of years forget about having good insurance as companies will be dropping their good plans to save money.