A Health Reimbursement Arrangement, or HRA, is an IRS approved,
employer-funded, tax advantaged employer health benefit plan that
reimburses employees for out of pocket medical expenses and
individual health insurance premiums. A health reimbursement
arrangement is not health insurance. A health reimbursement
arrangement allows the employer to make contributions to an
employee's account and provide reimbursement for eligible expenses.
A health reimbursement arrangement is an excellent way to
supplement health insurance benefits and allow employees to pay for
a wide range of medical expenses not covered by insurance. It is
often referred to (incorrectly) as a health reimbursement
account.