Get Reimbursed for Shoes Through Your HSA or FSA in 3 Easy Steps!

What are a Health Savings Account (HSA) and a Flexible Spending Account (FSA)?

A HSA is a savings account used in conjunction with a high-deductible health insurance policy that allows account holders to set aside pre-tax dollars to pay for qualified medical expenses. Similarly, an FSA is a savings account offered by an employer to an employee in which the employee saves a portion of their regular earnings (pre-tax) to pay for qualified medical expenses.

Are orthopedic and diabetic footwear products covered by an HSA or FSA?

Yes, orthopedic and therapeutic footwear products qualify as a medical expense through an HSA or FSA and can be reimbursed through your provider accounts. To be reimbursed, you will need to obtain a Letter of Medical Necessity from your qualified health care provider. Then, a purchase can be made for the qualifying product - save receipt for proof of purchase. Finally, fill out and submit a HSA or FSA reimbursement claim form to your account provider. See complete details in the three steps mentioned below.

How to seek reimbursement for qualifiying orthopedic and diabetic footwear and inserts?

Read the below steps on the appropriate way to be reimbursed for qualifying orthopedic and diabetic footwear and inserts

Step 1: Obtain Letter of Medical Necessity

To seek reimbursement for your Orthotics/Orthopedic Inserts, Orthopedic footwear, and post-operative footwear you must first obtain a Letter of Medical Necessity from your qualified health care provider. A qualified health care provider for orthopedic footwear would be someone such as a Podiatrist, a Certified Pedorthist (C.Ped) or a Prosthetic and Orthotic Professional (CPO or CO). The LMN should state the specific medical necessity for the footwear, like Morton's Neuroma or Plantar Fasciitis, and confirm your personalized sizing.

Step 2: Purchase Qualified Foowear/Inserts

Next, you will want to purchase shoes to address your foot condition. For example, orthotics and/or shoes with a deep heel cup and superior arch support would be ideal for someone suffering from Plantar Fasciitis. There are many footwear products in the marketplace that not only serve to address a medical condition but also come in stylish options. Once you purchase the right footwear product, you will need to save your receipt for proof of purchase. You can use your FSA/HSA card at the time of purchase to streamline the process and eliminate the need for submitting additional paperwork for reimbursement later.

Step 3: Submit Reimbursement Claim

You will also need to fill out and submit a claim form to your HSA or FSA provider stating the details of your purchase such as the name of the footwear, the purchase date and the amount paid. The participant must sign the reimbursement form indicating that the claim was for the individual, their spouse, or eligible dependent. You must also state the precise medical condition noted by your physician in the Letter of Medical Necessity to fully substantiate your claim.

Additional Tips

Navigating the reimbursement process for shoes through your Health Savings Account (HSA) or Flexible Spending Account (FSA) can be straightforward, but a few extra tips can help ensure everything goes smoothly. First, always keep detailed records of your purchase, including the receipt and any documentation that specifies the medical necessity of the shoes, such as a prescription or a letter from your healthcare provider. This documentation is crucial if your claim is ever questioned or denied, as it provides the evidence needed to justify the expense.

Second, be mindful of the deadlines associated with your HSA or FSA. FSA funds typically have a "use-it-or-lose-it" policy, meaning you need to spend the money by the end of the plan year or risk losing it. Some plans offer a grace period or allow a small rollover, but it's essential to know the specifics of your plan to avoid forfeiting any funds.

Third, familiarize yourself with the reimbursement process specific to your HSA or FSA provider. Each provider may have slightly different requirements for submitting claims, whether it's online, via mail, or through an app. Submitting your claim correctly and promptly will help avoid delays in receiving your reimbursement.

Lastly, consider consulting with your HR department or benefits administrator if you have any questions about eligible expenses or the reimbursement process. They can provide valuable guidance and ensure you're taking full advantage of your HSA or FSA benefits. By staying organized and informed, you can make the most of your HSA or FSA and get reimbursed for your medically necessary shoes with ease.

About author:

Derek Roach is a foot health specialist and has worked in the foot health industry for over 10 years. He is knowledgeable in various foot conditions and shoe features to help with those conditions. Also, he has been quoted on CNN, The Penny Hoarder, HuffPost, Dapper Confidential and other popular publications for foot and shoe-related topics.