The Health Reimbursement Arrangement (HRA) is a bookkeeping account that has been established for Retirees that retired on or after 1/1/2015 on a service retirement. Please note, this is a bookkeeping account only – it cannot be cashed out by participants at any time, and it does not “vest” – the Board may terminate the account at any time.

On the first day of each month, Eligible City of Detroit Non-Safety Employee Retirees who retired after December 31, 2014, will be credited with $125.00 to their HRA account per month in 2015, and shall be increased by 3% annually (rounding up to the nearest dollar) effective January 2016, and each January thereafter through June 30, 2024. Therefore, the monthly credit amount shall be $137 per month in 2018, $141 per month in 2019, $145 per month in 2020, $150 a month in 2021, $153 a month in 2022, $156 a month for 2023 and $159 a month for 2024.

The HRA may be used for all “qualified medical expenses” for you and your eligible dependents. Unfortunately, we cannot provide an exhaustive list of all possible “qualified medical expenses”. A partial list is provided in IRS Pub 502 (available at www.irs.gov). A determination of whether an expense is for "medical care" is based on all the relevant facts and circumstances. To be an expense for medical care, the expense must be primarily for the prevention or alleviation of a physical or mental defect or illness. The determination often hangs on the word "primarily." As an example, the following is a partial list: • All or part of any medical, dental, vision or prescription co-payments • Other medical expenses, provided they are qualified medical expenses as defined by the IRS; • Diabetic education, providing you submit a prescription from your physician and obtain the education from a licensed dietitian • Premiums for other insurance

Effective January 1, 2021 you may also use your HRA to pay the premiums for the Humana Medicare Advantage PPO coverage offered by the Trust ($155/ per month).  You must simply enroll in Humana and sign the HRA waiver to have the HRA funds applied toward your premiums each month.  This is the ONLY way you can pay the monthly premium for coverage through Humana.  You cannot have the premium deducted from your pension each month.    

Benefits payable under the HRA are subject to IRS rules and regulations regarding the IRS definition of medical expenses which may be included in medical expense deductions. The following is a partial list of expenses not payable under the HRA. They include but are not limited to: • Expenses already processed, and the amount paid by your medical insurance carrier • Vitamins/Supplements (whether prescribed by a doctor or not), and over the counter drugs and supplies.

You must send a completed HRA Claim Form along with the following information: (NOTE: BALANCE DUE STATEMENTS ARE NOT ACCEPTABLE).

Send these requests to: City Of Detroit Post-2014 Non-Safety Employee Retiree Healthcare Trust P.O. Box 1497 Troy, Michigan 48099-1497

Participants should send in receipts and/or documentation of out-of-pocket qualified medical costs as accrued monthly.  However, claims must be filed within 18 months of the date of service.  Claims filed after 18 months from date of service will be denied.  (Example 1: Date of Service 1/1/2024, must be filed by 6/1/2025 or they will be denied.  Example 2:  Date of service 4/1/2024, must be filed by 10/1/2025 or they will be denied.