New federal rules concerning applications for waivers from ACA’s annual dollar limits restrictions, until 2014, will allow carriers and employers to receive a waiver for a two-year period rather than just one year at a time.
The IRS has released the 2012 cost-of-living adjustments affecting health savings accounts. The Health Savings Account (HSA) contribution limits and High Deductible Health Plan (HDHP) out-of-pocket maximums will increase slightly, while the HDHP minimum required deductibles remain unchanged for the third year in a row. Here are the details:
HSA Contribution Limits:
- The 2012 annual HSA contribution limit for individuals with self-only HDHP coverage is $3,100 (a $50 increase from 2011), and the limit for individuals with family HDHP coverage is $6,250 (a $100 increase from 2011).
- HDHP Minimum Required Deductibles: The 2012 minimum annual deductible for self-only HDHP coverage remains $1,200 and the deductible for family HDHP coverage remains $2,400.
- HDHP Out-of-Pocket Maximum: The 2012 maximum limit on out-of-pocket expenses (including items such as deductibles, co-payments, and co-insurance, but not premiums) for self-only HDHP coverage is $6,050 (a $100 increase from 2011), and the limit for family HDHP coverage is $12,100 (a $200 increase from 2011).
Everything else, including eligible expenses and penalties, remains as is. Also,remember that as of Jan. 1, 2011 over-the-counter medications (with the exception of insulin) are no longer a covered expense under an HSA, FSA, or HRA without a doctor’s prescription, and the penalty for using HSA funds for ineligible expenses increased from 10 percent to 20 percent.