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High Deductible Health Plans to Cover Coronavirus Testing

Written by Jamie Davis | Mar 13, 2020 2:20:31 PM

The IRS has announced that high-deductible health plans can pay for COVID-19 (coronavirus) -related testing and treatment without jeopardizing their status. This also means that individuals with health savings account (HSA)-eligible, high-deductible health plans that cover these costs may continue to contribute to an HSA.

IRS Notice 2020-15 states that health plans that otherwise qualify as high-deductible health plans (HDHPs) will not lose that status because they cover the cost of testing for or treatment of COVID-19 before plan deductibles are met. Vaccination costs continue to count as preventive care and can be paid for by an HDHP.

Also, many insurance companies have agreed to waive co-pays for testing.

The notice is in response to growing concerns about the virus and the associated expenses.