1. What is a "Plan Sponsored Benefit card"?
A benefit card is a special-purpose Visa® or MasterCard that gives participants an easy, automatic way to pay for eligible health care/benefit expenses. The card lets participants electronically access the pre-tax amounts set aside in their respective employee benefits accounts such as Health Savings Accounts (HSA's), Flexible Spending Accounts (FSA's) and Health Reimbursement Accounts (HRA's) *if cards are available for their plans*.
2. How does the benefit card work?
The value of the participant’s account contribution is stored on the benefits debit card. When participants have eligible expenses at a business that accepts benefit debit cards, they simply use their card. The amount of the eligible purchases will be deducted – automatically – from their account and the pre-tax dollars will be electronically transferred to the provider/merchant for immediate payment.
3. Is the benefit card just like other Visa® or MasterCard Cards?
No. These benefit card's are special-purpose MasterCard and Visa Cards that can be used only for eligible health care/benefits expenses. It cannot be used, for instance, at gas stations or restaurants. There are no monthly bills and no interest.
4. How many benefit card's will the participant receive?
The participant will receive two cards. If participants would like additional cards for other family members, they should contact their Plan Administrator at the telephone number or website address printed on the back of the card.
5. Will participants receive a new benefit card each year?
No. Although you must re-enroll each year to use the card, participants will not receive a new card each year. If the participant will again have a benefit associated with the card for the following plan year – and he/she used the card in the current benefit year – the participant will simply keep using the same card for the upcoming year. The card will be loaded with the new annual election amount at the start of each plan year or incrementally, based on the type of account(s) the participant has. When the card does expire (expiration date appears on front of card), the participant will automatically be sent a new set.
6. What if the benefit card is lost or stolen?
Participants should call their Plan Administrator at the telephone number printed on the back of the Card. The card should be reported as lost or stolen as soon as they realize it is missing so the Administrator can turn off their current card(s) and issue replacement card(s). There is a $10 fee for replacement cards.
7. How do participants activate their benefit card?
Participants should call the toll-free number on the activation sticker on the front of the card upon receiving. Participants can use both cards once the first card is activated – they do not need to activate both. They should wait one business day after activation to use their card's. Each Card user should sign the Card with his or her own name.
8. Are there places the benefit card won’t be accepted?
Yes. The card will not be accepted at locations that do not offer benefit eligible items/services, such as hardware stores, restaurants, bookstores, gas stations and home improvement stores.
Cards will not be accepted at pharmacies, mail-order pharmacies, discount stores, department stores, and supermarkets that cannot identify HSA/FSA/HRA-eligible items at checkout. The card transaction may be declined.
9. If asked, should participants select “Debit” or “Credit”?
If the participant has elected to use a PIN (Personal Identification Number) with their benefit card, they should select “Debit” and enter the PIN when prompted. If the participant is not using a PIN with their benefit card, they should select “Credit” and will be asked to sign for the benefit card purchase. Participants cannot get cash with the benefit card.
10. Why do participants need to save all of their itemized receipts?
Participants and their other eligible users should always save itemized receipts for HSA, FSA, and HRA purchases made with the benefit card. They may be asked to submit receipts to verify that their expenses comply with IRS guidelines. Each receipt must show: the merchant or provider name, the service received or the item purchased, the date, and the amount of the purchase. The IRS requires that every card transaction must be substantiated. This can occur through automated processing as outlined by the IRS (e.g. copay matching, etc.). If the automated processing is unable to substantiate a transaction, the IRS requires that itemized receipts must be submitted in order to validate expense eligibility.
11. How will a participant know to submit receipts to verify a charge?
The participant will receive a notification from their administrator if there is a need to submit a receipt. All receipts should be saved per the IRS regulations.
*Check with your Employer OR Keystone to see if cards are offered through your benefit plans*