I got a wrong question: "Did XXX's High Deductible Health Plan coverage lapse in 2024 due to disability?" It is not true. How do I handle the situation?

[yang2jian4]

I changed company in 2024 and enrolled in HDHP in both companies. Does this confuse the turbotax? How to handle it?

[KeshaH]

If the HDHP lapsed or was cancelled, but not because of disability, you should be able to answer this question No and move forward.

If you were covered by an HDHP and the coverage didn't lapse at all during the year, you'll need to go back to the screen that asks if you were covered by an HDHP in 2024. Update your answers accordingly.

[electrikblueyes]

I am having this same issue, it is saying I had a break in coverage. I have had no breaks in coverage. I never saw this question and do not know how to get to this question. When I review the medical topic it does not ask me this. 

[BillM223]

electrikblueyes

Did you even have HDHP coverage (High Deductible Health Plan - a special type of health plan)? If you did not, then you should answer NONE to the question of "What type of HDHP coverage did [name] have on December 1, 2023?"

yang2jian4

You can't confuse TurboTax about changing HDHP companies, because it doesn't ask you that question. It only asks you if you had HDHP coverage, not from whom.

Are you married? Was the question for your spouse? Tell me what you entered, because I can't see how you could have confused TurboTax.

@yang2jian4 

@electrikblueyes 

[electrikblueyes]

I am married, I have a health care coverage through my employer which covers my family. My spouse is covered under this plan and does not have his own health insurance. There is not an HSA account attached to this plan and I cannot contribute to it. Our plan has an individual $2750/ family $5500 deductible. Routine services are a copay but anything else I pay member rate and goes towards the deductible. From reading the description of HDHP it seems like it qualifies as such.

[electrikblueyes]

When clicking on medical, 

"Tell us about the health-related accounts you had in 2024"

I selected "none" for me and my husband

On the next page it asks "What type of High deductible health plan did (myself) have on 12/1/2023"

Here I said "family"

And then it says I had a break in coverage, but I have not had a break in coverage and asks the reason. 

[BillM223]

Ah, I see the issue.

When you clicked on nothing for health related accounts, you did not go through the HSA interview. In the HDHP interview, you tell TurboTax what kind of HDHP policy you had in 2024.

But your omission told TurboTax that you didn't have HDHP coverage in 2024. But when you answered "Family" to the next question, you were basically telling TurboTax that you had HDHP coverage in 2023 but not in 2024 - hence, the "lapse".

So, do you actually not have an HSA?

I am puzzled at you believing that you have HDHP coverage but not having an HSA.

You said, "There is not an HSA account attached to this plan and I cannot contribute to it." I don't understand what this means. If you are actually covered by an HDHP policy, you can go out and get your own HSA - you don't need your employer's permission. What I am hearing doesn't make sense.

Do you or don't you have HDHP coverage? Ask your HR people or just call the insurance company to confirm. And if the answer is that you do have HDHP coverage, then go get your own HSA - your employer can't stop you.

[electrikblueyes]

Thank you for that information. Inquiring with my insurance company, I found out that my specific plan is actually a PPO plan. My employer also has a HDHP plan as an option. I thought they were both HDHP because they both have the same deductibles. The HDHP plan had a much smaller network of doctors. Sorry for the confusion, and thank you for helping me to figure this out. I hope this helps others as well.