Navigating the ins and outs of health spending accounts (HSAs) can sometimes feel like wading through murky waters, especially when it comes to what's covered and what's not. The CRA decides what is eligible based on if it's being used to treat a medical condition - whether that's related to overall health, vision, or dental. This does leave some items in a bit of a "grey area" though. For example, sometimes botox injections, which are typically cosmetic, are used to treat migraines! Or, sometimes, doctors might prescribe a patient to buy an ergonomic back pillow. This is not typically medically necessary, but if your doctor prescribes it as such, we aren't going to argue that!
To keep things on the up-and-up with the Canada Revenue Agency (CRA), our adjudicators sometimes need to ask patients for something called a "letter of medical necessity."
So, what's the deal with these letters? Think of them as your doctor's way of saying, "Yes, this is legit." We sometimes like to call it "The 5 Point Prescription" because it hits five key points:
Date of Prescription: When your doctor said you need it.
Patient Name: Who's getting the prescription?
What's Prescribed: Exactly what the doctor ordered.
Why It's Needed: What condition or issue it's treating.
Doctor's Info: Who wrote the prescription and their credentials showing that they are qualified to do so.
Here's a quick example that you can keep and bring to your medical practitioner so that they know exactly what we need!