Statement from the Consumer Healthcare Products Association (CHPA) Regarding OTC Eligibility in FSA/HSA Accounts:

“CHPA congratulates Representatives Lynn Jenkins (R-KS), Ron Kind (D-WI), and Grace Meng (D-NY) on the House of Representatives’ passage of H.R. 6199, legislation that will restore consumers’ ability to use their Health Savings Accounts (HSAs) and Flexible Spending Arrangements (FSAs) to purchase over-the-counter (OTC) medicines. We also applaud members for expanding the bipartisan efforts around this bill by extending HSA/FSA eligibility to feminine hygiene products.

“Millions of American families rely on FSAs, HSAs, and other tax-preferred accounts to purchase a wide range of healthcare products and services, but since 2011, a provision in the Affordable Care Act (ACA) has prevented consumers from using savings from these accounts to purchase OTC medicines without a prescription.

“Representatives Jenkins, Kind, and Meng’s bill is common-sense legislation and good health policy for many families who depend on non-prescription OTC medicines to treat common ailments such as allergies, cough and colds, or pain. It’s also good policy for the healthcare system at-large. Every dollar spent by consumers on OTC medicines saves the U.S. healthcare system $6-$7, contributing a total of $102 billion in savings each year by reducing unnecessary physician visits and utilizing cheaper treatment options.

“According to a survey conducted by Harris Poll on behalf of CHPA, the majority of Americans (75%) favor including OTCs in FSAs and HSAs. These tax-preferred accounts are utilized by over 50 million Americans today. This bipartisan legislation is also supported by the Health Choices Coalition – representing physicians, dentists, consumers, retailers, manufacturers, pharmacies, pharmacists, patients, insurers, small businesses, and large employers.”


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The Consumer Healthcare Products Association (CHPA) is the 137-year-old national trade association representing the leading manufacturers and marketers of over-the-counter (OTC) medicines and dietary supplements. Every dollar spent by consumers on OTC medicines saves the U.S. healthcare system $6-$7, contributing a total of $102 billion in savings each year. CHPA is committed to empowering self-care by preserving and expanding choice and availability of consumer healthcare products. chpa.org

 

 

Contact: Lauren Bloomberg (lbloomberg@chpa.org
 
202.429.3534