creation of Health Savings Accounts has made Health Reimbursement
Arrangements (HRAs) a far less attractive option for most employers.
- Because employees don't own the monies, HRAs have lower perceived value.
- The additional
cost and overhead associated with designing HRA plans, as well as the
ongoing cost of substantiating reimbursements and
managing the funds are significant.
Still, for some companies, Health
Reimbursement Arrangements (HRAs) may make sense.