President Trump last week issued an Executive Order, titled “Improving Price and Quality Transparency in American Healthcare to Put Patients First.” The order includes a section directing the Department of the Treasury to take actions to improve HSAs and FSAs in the following ways:
Issue guidance within 120 days to allow low-cost preventive care that maintains the health of an individual with a chronic condition before the deductible as part of a qualified high deductible health plan (“HDHP”)
Propose regulations within 180 days that would treat certain types of arrangements, possibly including direct primary care arrangements and health care sharing ministries, as qualified medical expenses under Section 213(d) so that they may be reimbursed by HSAs, FSAs, and HRAs
Issue guidance within 180 days that would increase the amount that can be carried over from one plan year to the next in a health FSA
These directives are contained in Section 6 of the Executive Order, which is titled “Empowering Patients by Enhancing Control Over Their Healthcare Resources.” While the orders give clear direction to the Department of the Treasury, the department will remain constrained by current law and regulations will need to be drafted to comply.
ConnectYourCare is encouraged by the continuous efforts of the administration to enhance the usability and expand access to consumer-directed health accounts.
