Health Reimbursement Arrangement A health reimbursement arrangement (HRA) is a tax-free savings account for health care. This valuable employee bene昀椀t is funded with contributions from your employer. It’s easy to use, and it’s a smart way to save up for future out-of-pocket medical, dental, and vision bills, including retiree insurance premiums. Most HRAs allow you to submit claims and begin using your funds after you separate from service or retire (vesting may apply). These are “post-separation” HRAs. HRAs that allow you to submit claims while you’re still working are “in-service” HRAs. In-service HRAs are much less common. Once claims eligible, your HRA covers you, your spouse, and dependents, including your young adult children through the end of the calendar year in which they turn age 26. The Indiana HRA Plan is a health plan, but it is not insurance, and you do not pay a premium. How It Helps The Indiana HRA Plan helps put you in control of your healthcare expenses. Many participants use their HRAs during retirement to reimburse retiree insurance premiums and the cost of medical items and services they might not be able to a昀昀ord otherwise. This includes things like power chairs, hearing aids, expensive vision and dental care, and emergency medical bills. If you have an “in-service” HRA, you can save it up for retirement or use it now to help cover the cost of current expenses, such as doctor visits, prescriptions, new glasses or contacts, and braces for your kids. pg. 2