On March 11, 2020, the IRS announced that high-deductible health plans (HDHPs) can cover COVID-19 testing and treatment without a deductible or with a deductible below the required minimum deductible for HDHPs without losing their HDHP status under the Code or threatening the tax-favored treatment of participants’ health savings accounts (HSAs).

The notice applies broadly to “all medical care services received and items purchased associated with testing for and treatment of COVID-19.” The full notice can be found here.

Please contact Joel Wood at joel.wood@ciab.com, Joel Kopperud at joel.kopperud@ciab.com or Blaire Bartlett at blaire.bartlett@ciab.com with any questions.