Cheryl has a single high deductible health plan that her employer and she contributes to. Her deceased husbands retirement plan contacted her to inform her that she can use his carry over HRA funds of just under $7,000. as long as she starts using them within 24 months. She was never covered by his insurance, as they both had single plans. Can she use this carry over HRA money, since she was his spouse and can she continue to contribute to her HSA?
Unfortunately, this is a real life scenario. I am trying to assist a co-worker that lost her husband a few months ago. She has contacted OPERS, the plan administrator of his insurance and the representative to her own health insurance plan but no one can/will give her an answer.
Unless the HRA is a special-purpose HRA or only covers medical expenses after the minimum deductible limit for an insurance plan to be an HDHP has been met, the HRA is other coverage that disqualifies one from being eligible to contribute to an HSA.