RS31134 / H0523

This legislation would provide that Health Care Sharing Ministry (HCSM) expenses are eligible medical expenses for Medical Savings Accounts (MSA). Members of HCSMs financially assist fellow members with large medical expenses rendering a result usually provided by health insurance. However, their costs do not have tax parity with health insurance premiums. Like health insurance policyholders, members of HCSMs make payments that go toward assisting fellow members with medical expenses. Under current Idaho law, citizens can only use their MSA for eligible medical, vision, and dental expenses (as defined by the Internal Revenue Code), along with health insurance and supplemental Medicare premiums and long-term care expenses. Due to the fact that HCSMs are not insurance companies and are not well known, the tax code does not explicitly address their status. Members of an HCSM are disadvantaged at the federal level and currently, Idaho HCSM members are unable to utilize an MSA for HCSM expenses that serve a similar purpose to insurance premiums.

This legislation causes no additional expenditure of funds at the state or local level of government nor does it cause an increase or decrease in revenue for state or local government therefore the legislation has no fiscal impact.

Bill Text

Statement of Purpose / Fiscal Note

Bill on Idaho Legislature site