How Does Take Command Support HRA Reimbursement and Employee Compliance?
Take Command is a platform that simplifies the setup and management of Health Reimbursement Arrangements (HRAs), ensuring compliance with legal and IRS guidelines while providing employees with an easy-to-use reimbursement system. Below are details on their services, employee responsibilities, and other key processes related to HRA usage.
Overview of Take Command's HRA Services
Take Command provides the following services to support HRA setup and management:
Generates required legal documents, including compliant pre-tax reimbursement settings, Summary Plan Descriptions, and Benefit Summaries.
Provides a platform for employees to shop for ACA-eligible individual health plans and offers one-on-one assistance with enrollment via specialists. Employees may also shop outside of the platform as long as coverage is ACA-eligible. Note that group plans are not permitted.
Reviews and verifies plans for IRS compliance and premium eligibility under HRA regulations.
Provides live support via phone or chat during business hours.
Facilitates compliance by handling required reimbursement details, employee onboarding, and regulatory updates. There are no setup fees or long-term contracts involved.
Assists with recurring premium setup, enabling employees to automate reimbursement processing for future plan years after an initial approval.
Roles and Responsibilities of Employees
To participate in an HRA effectively, employees need to fulfill the following responsibilities:
Plan Selection: Employees are responsible for selecting an ACA-eligible health plan either through Take Command’s platform or externally. For Medicare users, proof of coverage (Parts A/B or C/Medicare Advantage) must be uploaded to access funds.
Plan Enrollment: Individually enroll in the selected health plan.
Submitting Proof of Expenses: Upload eligible premium and/or medical expense documentation for verification. Approved submissions are then eligible for reimbursement.
HRA Reimbursement Workflow
Take Command has created a systematic workflow for HRA reimbursement:
Create Individual Accounts: Employees receive a portal account to manage reimbursements.
Upload Documentation: Eligible expenses must be uploaded to the portal to apply for reimbursement.
Verification and Reporting: Take Command verifies documentation for plan eligibility and sends reimbursement reports to the employer.
Reimbursement Payment: Approved reimbursements are processed and paid directly by the employer, often through payroll or checking accounts. Note: Take Command provides detailed reimbursement statements to employers but does not pay reimbursements directly to employees. Employers are fully responsible for issuing these payments.
To get reimbursed for your insurance premiums, follow these steps:
Pay Your Premium: Make the payment directly to your insurance carrier.
Obtain Proof of Payment: Collect a receipt, confirmation email, or a bank statement showing key details like payment amount, insurer name, date, and policyholder’s name.
Enter Information in the Portal:
Log in to your Take Command member portal.
Navigate to the Reimbursements or Submit a Claim section.
Upload your proof of payment alongside requested details, such as the covered month.
Approval Process: The Take Command team will review your submission. Once approved, reimbursements align with your company’s schedule, typically issued via direct deposit.
Compliance and Documentation Requirements
Only ACA-compliant insurance plans or Medicare coverage (Parts A/B or C) are eligible for HRA reimbursement.
Documentation such as proof of eligible premiums or qualified medical expenses must be provided through the portal for verification.
Take Command secures all provided documentation under HIPAA guidelines and ensures transparency in tax-related compliance.
Reimbursements for eligible plans are processed tax-free. If a non-compliant plan is selected, out-of-pocket costs may be treated as taxable income. Plans purchased through federal or state marketplaces with autopay often involve post-tax deductions, but employer reimbursements via HRA remain non-taxable.
FAQs About Special Cases
Can Retroactive Reimbursements Be Processed?
Yes, retroactive reimbursements are entirely managed by employers. Employers can choose to retroactively reimburse employees for previous eligible expenses without involving Take Command in the process.
What Happens If My Employer No Longer Uses Take Command?
If your employer stops using Take Command, reimbursement processes are managed directly by your employer. Contact your HR or benefits team for further details on submitting expenses and receiving payments.
What if My Plan Premium is $0?
If your health plan has a $0 premium:
Enter “0” into the premium field while uploading your coverage.
Submit receipts for other eligible medical expenses (e.g., procedures, services) for reimbursement through your HRA.
What If I Buy My Plan Outside Take Command?
Yes, you may purchase an individual health plan outside the Take Command platform, and your HRA allowance will remain the same as long as the selected plan is ACA-eligible. Group plans, however, are not covered by HRA allowances.
Additionally, if you purchase a plan through an external licensed insurer, marketplace, or broker, it is essential to upload all relevant details, including proof of coverage, to the Take Command portal. This ensures eligibility verification and timely reimbursement processing.
Can I Use a Prepaid HRA or Debit Card for Purchases?
No, Take Command does not offer preloaded debit or HRA cards. Submission and approval of eligible expenses are mandatory for reimbursement.
What Should Medicare Participants Do?
Employees on Medicare should upload proof of enrollment in either Medicare Parts A and B or Part C/Medicare Advantage to access HRA reimbursements. Compliance with your plan rules is essential for reimbursement approval.
Support and Assistance from Take Command
Take Command offers robust support for employees and employers alike, providing assistance with plan selection, compliance verification, and portal usage. Their award-winning support team is available during business hours via phone and live chat. By following these outlined steps and leveraging the Take Command platform, employees can efficiently manage their HRA reimbursements while ensuring compliance with IRS and legal requirements.
Employer Responsibilities and Offboarding Practices
Responsibilities for Issuing Reimbursements
Employers are responsible for paying employees for their approved reimbursement claims. Take Command facilitates this by providing monthly reimbursement statements, but employers issue the payments directly to their employees.
Offboarding Procedures for Terminated Employees
When an employee is terminated or becomes ineligible for HRA participation:
Employers must remove the employee from the Take Command roster.
Employees retain access to the member portal for 90 days post-termination to submit eligible expenses incurred while covered. They appear in the "suspended" section during this period before being moved to the "former" section.
Employers are responsible for ensuring compliance and assisting the employee in understanding their continuation or cancellation options for their insurance policy.