Can Medicare Premiums for the Account Holder’s 65 Year Old Spouse be Reimbursed from an HSA?

By: Joni Landy, Esq.  

In general, the law prohibits distributions from an HSA for health insurance premiums. There are several exceptions. The only exception that can apply to Medicare premiums is the exception that allows for payment of health insurance (other than a Medicare supplemental policy) in the case of an account holder who has reached age 65 (the "65 Exception").  

It’s clear that the 65 Exception allows the account holder to pay the account holder’s own Medicare premiums when the account holder reaches age 65. What isn’t so clear is whether the exception permits Medicare premium reimbursements from the HSA for the 65 year old spouse.

Based on IRS guidance allowing payment of Medicare premiums for "individuals" over age 65, it appears, without being entirely clear, that the IRS views the 65 Exception as allowing payment of Medicare premiums (but not Medicare supplemental policy premiums) for a spouse who has reached age 65.  In any case, based on a strict reading of the law itself, Medicare premiums for a 65 year old spouse would not be appear to be payable from an HSA unless the account holder has also reached age 65. 

The contents of this article are for general informational purposes only and are not intended to constitute legal advice.  

 © 2007 Tucker Arensberg, P.C. All rights reserved  

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