Can I have a Flexible Spending Account (FSA) and an ICHRA?

Answer:

Yes. If your ICHRA reimburses premiums only and does not reimburse qualified medical expenses, you can also participate in a general-purpose Health FSA if your employer offers one.

Because your ICHRA is limited to reimbursing individual health insurance premiums, it does not conflict with a Health FSA that reimburses eligible out-of-pocket medical expenses. The two accounts can work together, allowing you to use:

• Your ICHRA to help pay for eligible individual health insurance premiums.
• Your Health FSA to pay for eligible medical, dental, vision, and prescription expenses that are not covered by your health plan.