Medicare and COBRA Premiums
HSA funds can pay for Medicare Parts A, B, and D as well as copays for Part D. Medicare HMO, Medicare Advantage and MAPD plan premiums are also eligible for reimbursement.
However, HSAs cannot help with Medicare Supplement Plan or Medigap premiums. Married couples may run into trouble when they go to reimburse for such premium expenses in the account owner isn't also the spouse who is going onto Medicare or they are not yet yet 65 because while HSAs can normally be used to pay expenses incurred by the acount owern's spouse or dependent, Medicare premiums aren't considered an eligible expense unless the account holder is 65.
Long Term Care Premiums
HSA funds can be used to cover premiums for long term care insurance. To qualify, a policy must provide coverage for only long term care service and kick in if assistance is needed with at least two daily living activities or if they suffer cognitive impairment.
If you plan to self-fund long term care, you can tap HSA funds to pay for such expenses as they occur.
Non-medical Expenses
If you need funds to cover living expenses after a job loss, can you use HSA? Yes, you can if you have unreimbursed past health care expenses. As long as you have an open HSA when you incurred the medical expenses and haven't yet tapped it to cover the cost, an amount equal to that bill can be withdrawn at any time and used for any purpose. You can claim back to 2004 when HSAs were first introduced.