Your HRA is a reimbursement arrangement. When you pay your employees through the HRA, you are reimbursing them for medical expenses that they have already paid out of pocket.
Remember - the rates that you set are not necessarily the amounts you will pay out each month. Rather, the rate is the maximum amount per month that your employees are able to claim for reimbursement. You will only reimburse employees for claims that they have submitted through us.
What does it mean to claim a reimbursement?
It means that:
Your employee has already paid a health expense out of pocket, whether it is their monthly premium amount or an eligible medical expense.
He or she has submitted proof of the payment on that medical expense to Take Command Health.
Our team at Take Command Health has reviewed the receipt or other evidence to make sure it qualifies for reimbursement through your HRA.
Each month when we send you a report showing how much to reimburse each employee, we have already verified that those reimbursement amounts have been paid out of pocket and are eligible for reimbursement through your HRA. So, you can rest assured that the reimbursements you're paying are for eligible expenses.
Still not sure where to start? Check out our Admin Resource Center for more resources and support.