Originally Posted by frank
I got a letter from my bank this morning in regard to the care act. it says something about you can contribute to the hsa even without the necessary insurance type or hdhp. I wonder if anybody has seen this. I am on medicare and have a gap policy. I was wondering if I could contribute to my old hsa plan under the new guidelines.
It seems the short answer to your question would be a no.
"The Internal Revenue Service today advised that high-deductible health plans (HDHPs) can pay for 2019 Novel Coronavirus (COVID-19)-related testing and treatment, without jeopardizing their status. This also means that an individual with an HDHP that covers these costs may continue to contribute to a health savings account (HSA)."
Here is the relevant excerpt from the notice you received:
For plan years beginning on or before December 31, 2021, a plan does not fail to qualify as an HDHP for purposes of HSA contribution eligibility merely because the HDHP provides coverage prior to the deductible being met for COVID-19 testing and treatment coverage and/or coverage for telehealth and other remote care.
To be eligible to contribute to an HSA, an individual may not be covered under an insurance plan that is not an HDHP with certain exceptions.
IOW, an otherwise HSA compliant HDHP remains compliant even though it provides COVID19 testing/treatment coverage prior to deductibles being met. The CARE Act is providing that exemption.
It doesn't appear as though any changes have been made when it comes to the requirements for contributing to HSA's.