Health Reimbursement Arrangements (HRA)

What Is an HRA?

An HRA is an IRS-approved tax-advantaged account that the State can contribute to, and where you can use the funds to reimburse yourself for qualified medical expenses such as health insurance premiums and out-of-pocket costs.

How Does an HRA Work?

If you qualify for a State subsidy, and you have purchased a Medigap or Medicare Advantage plan through Via Benefits, you will receive your subsidy in the form of monthly State contributions to your HRA. (See below for the actual subsidy amounts.) You can then use the funds in your HRA to reimburse yourself for qualified expenses.

Retiree HRA allocation amounts are determined according to statutory formula. A benchmark Medicare Supplement plan is used to set HRA allocations according to subsidy entitlements. The retiree's subsidy percentage is applied to the age-based rate of the benchmark plan, and the resulting amount is allocated to the retiree's HRA.

The benchmark plan is the BCBSRI Plan F underwritten by Blue Cross Blue Shield or RI.  Despite the fact that new retirees may not be able to purchase this plan,* the State is keeping the BCBSRI Plan F as its benchmark plan for 2024.

* Just like all other Plans F and C, the AARP Plan F fully covers the Medicare Part B deductible. Pursuant to federal legislation effective January 1, 2020, Medigap plans sold to people who are newly eligible for Medicare aren’t allowed to cover the Part B deductible. Because of this, Plans F and C aren’t available to people newly eligible for Medicare on or after January 1, 2020. If you already have or were covered by Plan F or C before January 1, 2020, you can keep your plan. If you were eligible for Medicare before January 1, 2020, but not yet enrolled, you may still be able to buy one of these plans that cover the Part B deductible. Plan F and Plan C are closed to new enrollees that were not previously eligible for Medicare as of January 1, 2020.

How Do I Enroll?

Please contact Via Benefits—the State's HRA administrator—to enroll in an HRA, learn more detail on how the HRA process works, as well as find a complete list of eligible medical expenses:

• Visit my.viabenefits.com/ri
• Call 1-844-448-7298 (TTY: 711), Mon–Fri 8am–9pm EST