Can health expenses charged to an HRA account first be charged through Medicare Part A or B?

Question

I have a commercial insurance policy with an HRA account of $1500, to cover 4 people, and a $5000 deductible for ANY services thereafter. I also have Medicare Part A and B. The commercial policy is very likely to be canceled in March of this year, so I would prefer to not miss any opportunity to work on the Medicare deductible.

Now, I know that it typically goes private insurance first, and then Medicare for the rest, but in the case of an HRA, the private insurance really isn't covering anything -- it's just pulling money from the employer funded HRA account. Shouldn't that be able to go over to Medicare before that happens?

Zarnev · Accepted Answer

If your group policy has 20 or more lives it is primary and Medicare is secondary. If it has fewer than 20 then Medicare is primary.

The HRA funds must be used to satisfy the primary policy first.

StephenWeinstein · Answer

Medicare rules are very clear -- you do not get to pick, ever, under any circumstances.  Either you let it happen in the only order in which it can happen, or you do not use any insurance (and pay with your own money instead).

Kini · Answer

I didnt know Medicare was used to cover an employee.

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Can health expenses charged to an HRA account first be charged through Medicare Part A or B?

3 Answers