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Over-the-Counter Expenses: Partial Listing of Eligible Expenses for Medical Care FSA Plans (subject to change)

The following represents a partial listing of eligible "over the counter" expenses for the Medical Care Reimbursement Account for Flexible Benefit Plans. This list is subject to change as further clarification is made. If you are unable to determine the eligibility of a particular expense, feel free to contact EBS Customer Service for assistance.

Dual Purpose Expenses

The following would be eligible for reimbursement, only if used to treat a specific medical condition. Cannot be used to improve or maintain general well-being, if even prescribed by a physician (for general health). These expenses will only be reimbursed with a note from a medical practitioner / physician naming the medical condition and recommended treatment (can not be a cosmetic procedure) for which it will be used and submit with receipt for reimbursement.

• Feminine hygiene - most likely used for general health or toiletries, but there could be exceptions
• Glucosamine / Chondroithin - used for arthritis
• Herbal medications
• Hormone therapy/treatments for menopause - used to treat symptoms such as hot flashes, night sweats, etc.
• Household products to treat allergies
• Nasal sprays for snoring
• Medicated shampoos / Medicated soaps - only if physician diagnoses skin or scalp infection and prescribes special treatment to be applied for limited period of time.
• Orthopedic shoes and inserts - if medically prescribed for treatment of medical condition
• Pills for lactose intolerance
• Prenatal vitamins - not for general well being
• Sunscreen - only if prescribed for specific medical condition, not for general skin health
• Weight Loss - items that replace normal food consumption are generally not reimbursable (i.e. diet foods, drinks, bars). Supplements/drugs that are purchased for general dietary health are not reimbursable; if a specific medical condition exists such as obesity, submit receipts with note from medical doctor naming condition and OTC treatment.

Excluded Expenses
The following is a brief listing of items that are excluded from eligible expenses. Claims will be denied for the following expenses:

• Chapstick / Lip balm
• Cosmetic products of any kind
• Cleansers or soap that are considered toiletries (non-medicated)
• Dental floss
• Deodorants
• Dietary supplements - used to improve or maintain general health
• Eye and facial makeup preparations
• Face cream
• Fiber supplements - used for general health
• Fingernail polish
• Hair color / hair products
• Herbal supplements - used to improve or maintain general health
• Lipstick
• Mouthwash
• Shampoo
• Skin moisturizers/lotions
• Suntan lotion
• Sunscreen - used for general health purposes
• Teeth whitening products
• Toiletries of any kind
• Toothpaste
• Toothbrushes
• Vitamins - used to improve or maintain general health

Notes for determining allowable expenses:
Prerequisites for reimbursement of an OTC drug:

• The sponsoring plan allows for the expense
• The OTC drug is generally regarded as medicine or drugs
• The item is not a toiletry item or for cosmetic purposes
• The OTC drug is legally procured
• Expenses must be incurred during the plan year (or during the time the participant was eligible to participate).
• Expenses must be claimed using appropriate documentation. The receipt for OTC expenses must include, at a minimum, a description of the product, the date of the expense, the name of the service provider (drugstore, Dr., etc) and the amount of the expense. Attach the receipt to a claim form and send to EBS. (Keep a copy for your records.) If considered a dual purpose item, then a note from a medical practitioner must accompany receipt.
• It is considered reasonable by the IRS, to reimburse participants who have purchased a reasonable quantity of OTC drugs to have on hand for use during the plan year, if the OTC drugs otherwise qualify as medical care. This includes year-end purchases in small quantities. Purchasing several thousand tablets of an OTC drug at year-end would be suspect. It is assumed therefore, that a few (small quantity) bottles of aspirin (for example) purchased at one time, would be eligible.