Health accounts (HRA & HSA)
Some of Veradigm medical plans offer a health account (an HRA or HSA account, depending on the medical plan you choose) that you can use to pay for eligible healthcare expenses incurred by you or your covered dependents.
For more details about both types of health accounts, see IRS Publication 969.
Health Reimbursement Account (HRA)
If you enroll in the Cigna HRA or Kaiser Permanente HRA plans, an HRA account is set up for you.
Each plan year, Veradigm makes contributions to your account that you can use to pay for eligible medical deductible and coinsurance expenses.
Unused HRA funds roll over at the end of the plan year, allowing you to accumulate funds for future healthcare expenses, as long as you remain in the same HRA option from year-to-year.
If you use all of the available funds in your HRA before your deductible is met and/or before the plan year is over, you are responsible for paying all incurred medical expenses and/or remaining deductible. Once your deductible is met, you share the cost of medical services with Veradigm until you reach the out-of-pocket maximum.
Using your HRA
The funds in your HRA are available to use for eligible medical expenses as processed through the Veradigm Medical Plan. Your doctor/healthcare provider submits medical claims to process. Your medical plan provider (Cigna or Kaiser Permanente) will apply any available funds from your HRA toward your claims. Remember, your HRA dollars can only be applied towards deductible and coinsurance expenses incurred with the medical plan. HRA funds cannot be used towards dental and/or vision expenses.
Note: Prescription drug copayments are not eligible for reimbursement under an HRA.
Veradigm contributions for Cigna and Kaiser HRA plans
If you enroll in the Cigna HRA or Kaiser HRA plan, you will receive 100% of Veradigm contributions on January 1 of the plan year.
|Coverage level||Veradigm maximum annual HRA contributions|
|Associate + spouse/DP||$750|
|Associate + child(ren)||$750|
|Associate + family||$1000|
Note: If you enroll in the Kaiser HRA medical plan, you will receive 100% of Veradigm contributions on Jan. 1, 2024.
Health Savings Account (HSA)
If you enroll in the Cigna HSA plan or the Kaiser Permanente HSA plan and are eligible for a health savings account (HSA), an HSA account is set up for you automatically.
The HSA is a tax-favored savings account that is owned by you. You can use money in your account to pay for qualified health care expenses, including deductibles and copays—or keep it for future expenses, even those you incur in retirement.
Here’s a brief look at how the HSA works:
- Your contributions to the HSA are pre-tax. You can select a contribution amount when you enroll/re-enroll each year, and contributions are taken from your paycheck pre-tax.
- Veradigm also makes contributions to your account.
- The 2024 maximum total annual contribution (yours and Veradigm’s) to your HSA is $4,150 for associate coverage and $8,300 if you cover dependents.
- The 2023 maximum total annual contribution (yours and Veradigm’s) to your HSA is $3,850 for associate coverage and $7,750 if you cover dependents.
- You can contribute an additional $1,000 if you are age 55 or older.
- Any money in your HSA that you don’t spend stays in your account to help you save for future medical and retiree health care expenses.
Are you eligible for an HSA?
Because HSA plans have certain tax advantages, the IRS defines specific rules for participants.
You are not eligible for an HSA if you:
- Are enrolled in Medicare.
- Are covered by another healthcare plan that’s not a qualified high deductible health plan.
- Can be claimed as a dependent on someone else’s tax return.
- Are covered by veterans’ benefits and have used Veterans Affairs medical services within the past three months. Veterans who have a service-connected disability can participate in an HSA regardless of when they received VA benefits.
- Are enrolled in or covered by a general purpose Healthcare Flexible Spending Account (FSA) or Health Reimbursement Account (HRA), including one through your spouse’s/domestic partner’s employer.
Important: HSAs are personally owned health savings accounts subject to annual IRS maximum contributions. Individuals must monitor their pre-tax elections and Veradigm contributions throughout the tax year to ensure they do not exceed the annual limits. You can review your year-to-date contributions through the single sign-on feature in www.mycigna.com. Changes to pre-tax HSA payroll contributions are permitted anytime throughout the year to account for necessary adjustments.
To change your HSA contributions during the year:
- Go to veradigmbenefitsus.com.
- Click Start Here.
- Select Life Event and then HSA Mid-Year Change.
Changes to your HSA throughout the year will be effective at the beginning of the next month.
Veradigm HSA contributions for Cigna and Kaiser HSA plans
If you enroll in the Cigna HSA or Kaiser HSA plan, you will receive a quarterly contribution to your account on the first day of each quarter of the plan year (starting January 1), as follows:
|Coverage level||Veradigm quarterly HSA contributions||Veradigm maximum annual HSA contributions|
|Associate + spouse/DP||$240||$120||$120||$120||$600|
|Associate + child(ren)||$240||$120||$120||$120||$600|
|Associate + family||$320||$160||$160||$160||$800|