HEALTH REIMBURSEMENT ACCOUNT

A Health Reimbursement Account (HRA) is a type of employer-sponsored benefit plan that allows employees to set aside pre-tax dollars to pay for certain healthcare expenses. HRAs are funded by the employer and can be used to cover eligible medical expenses such as deductibles, co-pays, and other out-of-pocket expenses.

Employers can design HRAs to meet their needs, and the plan can be customized to cover certain types of expenses or be limited to certain types of employees. For example, an employer may offer an HRA to cover the deductible and co-pays for employees enrolled in a high-deductible health plan.