The Retail Industry Leaders Association (RILA) applauded passage today of the Health Care Cost Reduction Act of 2012 (H.R. 436). Among other things, H.R. 436 repeals the provision in the Affordable Care Act (ACA) which prohibits the use of funds from an FSA, HSA, HRA, or Archer MSA from being used to purchase over-the-counter medications without a prescription. Christine Pollack, vice president of government affairs gave the following statement.
“RILA applauds the House’s action on H.R. 436 and appreciates Representative Lynn Jenkins’ (R-KS) leadership in driving this repeal,” said Christine Pollack, vice president of government affairs. “Prior to the enactment of the ACA, millions of American families relied on the ability to utilize consumer-directed health accounts to cover the cost of over-the-counter medications. The ACA’s requirement that you must have a doctor’s prescription to use funds in an FSA, HSA, or HRA to cover the cost of over-the-counter medication will increase health spending. The OTC provision in the ACA puts a strain on the employer-sponsored health system and will make it harder for health providers to keep up with the demand of seeing patients.”
“Employer-sponsored coverage is the backbone of the U.S. health care system and retailers want to ensure that it can continue to be a competitive and affordable option for employees and their families. RILA supports employers’ ability to offer employees and their families quality and affordable health options like FSAs, HSAs, and HRAs, which help to control rapidly increasing health costs,” Pollack concluded.
RILA is the trade association of the world’s largest and most innovative retail companies. RILA members include more than 200 retailers, product manufacturers, and service suppliers, which together account for more than $1.5 trillion in annual sales, millions of American jobs and more than 100,000 stores, manufacturing facilities and distribution centers domestically and abroad. RILA members offer quality and affordable health care to employees and their families and are leaders in benefits design by customizing plans to meet their workforces’ specific needs.