Can I use my health savings account to pay for dental insurance premiums?

[gary_dehn]

I am age 58, retired and buy my own obamacare health insurance.

[AnnetteB · Accepted solution]

No, according to the IRS, funds from your Health Savings Account (HSA) may not be used to pay insurance premiums unless they meet the qualifications shown below:

Insurance premiums.   You can’t treat insurance premiums as qualified medical expenses unless the premiums are for:

1.       Long-term care insurance.

2.       Health care continuation coverage (such as coverage under COBRA).

3.       Health care coverage while receiving unemployment compensation under federal or state law.

4.       Medicare and other health care coverage if you were 65 or older (other than premiums for a Medicare supplemental policy, such as Medigap).

Here is the link to the IRS document:

https://www.irs.gov/publications/p969/ar02.html#en_US_2016_publink1000204081

[Luffing]

For a person under 65, if the dental insurance premiums are part of COBRA coverage, can HSA funds be used to pay the premiums allocable to the dental portion of the COBRA coverage?

[DaveF1006]

Yes, according to IRS publication 969, insurance premiums are not covered by HSA distributions unless the premiums are for: 

1.       Long-term care insurance.

2.       Health care continuation coverage (such as coverage under COBRA).

3.       Health care coverage while receiving unemployment compensation under federal or state law.

4.       Medicare and other health care coverage if you were 65 or older (other than premiums for a Medicare supplemental           policy, such as Medigap).

Dental care is health care thus should be construed as health care continuation coverage thus can be paid with a HSA distribution.

@Luffing

[Luffing]

Thank you!