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Health Spending Accounts are designed to cover qualified medical expenses as defined by the Canada Revenue Agency.
For individuals with severe chronic ailments, diseases, or disorders, such as asthma, chronic obstructive pulmonary disease (COPD), or certain autoimmune conditions, air conditioning can be more than just a comfort—it can be a medical necessity. Extreme temperatures can exacerbate symptoms and worsen overall health outcomes for these individuals. As such, maintaining a cool environment through the use of air conditioning can be crucial for managing their condition.
**While this article provides general information about Health Spending Accounts and eligible items, it's crucial to remember that coverage can vary depending on your specific plan. Always verify that your plan includes these expenses before assuming eligibility.**
The CRA does acknowledge the importance of maintaining a comfortable living environment for individuals with certain medical conditions. According to the METC (Medical Expense Tax Credit), eligible medical expenses may include the cost of equipment, such as air conditioners, if prescribed by a physician or Eligible Practitioner to alleviate or treat a specific medical condition.For this reason, when a claim is submitted for an Air Conditioner under this category, we do require a prescription from a qualified healthcare professional, to demonstrate medical necessity. Here is an example of what that might look like:
To Whom it May Concern,
Please note that [Patient Name] suffers from [condition or diagnosis] and it is medically necessary that they purchase/pursue [item or service] to treat this condition.
Sincerely,
[Practitioners name and credentials]
[Date of letter]
Additionally, according to the CRA guidelines, the cost of an air conditioner may be limited to the lesser of $1,000 or 50% of the amount paid.
While the purchase of an air conditioner may not be a traditional medical expense, it can qualify as an eligible expense under an HSA under the above circumstances.
Questions? Reach out to support@getmyhsa.com and we'd love to help!