HRA Account: How to Use the Debit/Visa Card
Using the HRA Card at the Time of Service
The ERIP HRA card is a debit-type Visa card that allows participants to pay for services from their HRA account at the time of service. The primary advantage to using the HRA Card is paying for medical services and prescriptions directly from the HRA account at the time of billing, and not having to wait to be reimbursed. However, participants may still be required to substantiate some purchases with receipts.
The HRA Card can be used for any IRS-eligible expense incurred by the participant, spouse, or dependent. The HRA Card can be used at any business that has registered with credit card vendors as a health-care related business, or that have implemented an IRS-approved inventory system for restricting HRA card use to eligible items. Some examples of where the card can be used:
- Health related businesses such as hospitals, physician and dental offices, vision providers, chiropractic or acupuncturist offices
- Pharmacies and other medical supply businesses
For a list of eligible merchants go to iutsb.nyhart.com
When the HRA Card is Used for Ineligible Expenses
The HRA account should only be used for eligible medical, dental and vision expenses, but mistakes can happen. For questions about whether an item is eligible, contact Nyhart at 1-800-284-8412. When using the HRA Card at a merchant location, be sure to separate eligible expenses and pay for them separately from ineligible purchases. If the card is used for ineligible expenses, reimburse the account as soon as possible. If Nyhart notices the error first, repayment will be requested and the card will be deactivated if the account is not reimbursed. Please note that Nyhart makes reasonable efforts to verify the eligibility of expenses; however, the participant is ultimately responsible to the IRS for misuse of the card.
When Expenses are More than the Amount in the HRA Account
Expenses will only be paid from the HRA account up to the amount accumulated in the account at the time the card is used. If the current expense is more than the balance in The HRA account, the difference out-of-pocket must be paid.
When Annual Expenses Exceed Annual Balance
If the participant has more expenses in one year than is available in the HRA account, s/he can get reimbursed for the remaining expenses in the following year once IU credits the HRA account again. Nyhart will automatically issue reimbursement payments, once there are additional funds in the HRA account, for prior claims that could not be fully reimbursed.
Requests for Receipts from Nyhart
If Nyhart needs additional substantiation for the use of the HRA Card, Nyhart will send an email request for receipts (U.S. mail if an e-mail address has not been provided) each time the card is used at an office or merchant that does not have an IRS-approved inventory system. Substantiation of these purchases is required. The participant will have two weeks to submit receipts. If purchases are not substantiated within 30 days, the card will be deactivated. It will be reactivated as soon as receipts are submitted. If receipts cannot be provided, send Nyhart a check to repay the unsubstantiated reimbursements from the account.
Using the HRA Card to Pay Health Insurance Premiums
The HRA Card cannot be used to pay for health insurance premiums. The participant must pay for IU health insurance premiums with a check or money order then submit a claim with substantiation to Nyhart so they can then be reimbursed for their expense. Please see the section: How to Submit Claims for more detail.
Using the HRA Card to Pay Eligible Health Bills
If participants receive a bill for services, they can pay the bill by writing the Visa card number on the invoice and mailing it in, or by providing the card information over the phone.
Using the HRA Card to pay for Mail Order Pharmacy service
Participants may also use the card for mail order pharmacy service. Provide the Visa card number when ordering prescriptions and the expense will come directly out of the HRA account.
Ordering an Additional Card
Participants may obtain additional debit/Visa cards, at $5.00 per card, for use by family members. Additional cards can be ordered using the form on the Nyhart web page or by calling Nyhart at 1-800-284-8412. When giving cards to family members, remember the participant is responsible for substantiating purchases on all cards, as requested by Nyhart
Lost or Stolen Cards
If the card is lost during normal business hours, Nyhart will deactivate the card when they are notified. On the weekend or after hours, notice must be provided to UMB, the card administrator, through their customer service web site, www.umb.com or at 1-888-860-5862. There may be a modest charge for replacing lost cards. Remember, no PIN is required to use the card, so be sure to report lost or stolen cards immediately.