Bandage Clips: FSA Eligibility

Bandage clips are over-the-counter (OTC) items eligible for reimbursement with a flexible spending account (FSA), health savings account (HSA) or a health reimbursement arrangement (HRA). Bandage clips are not eligible for reimbursement with a limited care flexible spending account (LCFSA) or a dependent care flexible spending account (DCFSA).

How are bandage clips used?

In the event of an injury to a muscle, joint or tendon, elastic bandages are among the most common forms of treatment to immobilize the affected area to prevent re-injury, as well as providing compression therapy to decrease pain and swelling. These bandages typically consist of long pieces of fabric that are wrapped around the injured area, and while some utilize adhesives to stay in place, bandage clips are tried-and-true methods to ensure that elastic bandages are effective.

Traditionally, safety pins were the most commonly used methods of securing elastic bandages. While they were effective in doing so, they had the unfortunate side effect of piercing the skin if the wearers moved in a specific way. Thus, bandage clips were created as a means of replacing the traditional safety pin and allowing it to be worn for a longer period of time before requiring re-wrapping.

These bandage clips are typically made out of metal or plastic, and feature small "teeth" that can weave into the fabric of an elastic bandage and hold it in place. Quite possibly the biggest advantage of bandage clips is the patient's ability to use them without assistance. Safety pins typically required a steady hand and prior experience to work effectively, while bandage clips can be applied without assistance. Lastly, plastic bandage clips hold the unique ability to be used in an X-ray machine, which prevents time-consuming unwrapping and re-wrapping of the affected area.

Why do bandage clips not require a prescription for reimbursement?

As a result of the passage of the Patient Protection and Affordable Care Act (PPACA), as of January 1, 2011, a new set of uniform standards were put into place regarding the reimbursement of medical expenses. To reimburse the cost of OTC medicines and drugs under FSAs, HSAs and other consumer spending accounts, account holders must submit a prescription from a physician for each product.

However, bandage clips are not covered under this distinction, despite their status as OTC medical products. Under IRS 213(d)(1), bandage clips are products that are reimbursed for "medical care includes amounts paid for the diagnosis, cure, mitigation, treatment, or prevention of disease, or for the purpose of affecting any structure or function in the body." Bandage clips are
considered medical equipment, supplies or devices, and therefore do not require the same prescriptions as OTC medicines.

Bandage Clips: Best Sellers


Eligibility Table

Flexible Spending Account (FSA) Limited Care FSA Dependent Care FSA Health Savings Account (HSA) Health Reimbursement Account (HRA)

Eligible

Eligible with Rx

Eligible with LMN

Not Eligible

Specifically Not Covered

No prescription required.

Legal Information / Regulations

Under IRS ' 213(d)(1), "medical care includes amounts paid for the diagnosis, cure, mitigation, treatment, or prevention of disease, or for the purpose of affecting any structure or function of the body." This includes medical equipment, supplies and devices.

 


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